Travel industry tech specialists Sabre announced it has bought airline software provider Radixx today, for USD110 million.
With an eye on the low-cost carrier (LCC) market, which has grown twice as fast as full-service carriers over the past five years, the new acquisition is expected by Sabre to increase its muscle power in retailing, distribution and fulfilment capabilities in this competitive and fecund market space.
“This acquisition will result in a better alternative for low-cost carriers”
Radixx’s signature products are a best-in-class LCC passenger service system (PSS) and internet booking engine (IBE).
“By combining Radixx technology and expansive LCC customer base with Sabre’s expertise, scale and global service capabilities, this acquisition will result in a better alternative for low cost carriers that might have otherwise felt their PSS and other technology options were limited,” said Sean Menke, chief executive officer of Sabre.
“This acquisition also allows Sabre to quickly expand its footprint both geographically and in terms of scope of service with an important and rapidly growing segment of the airline industry.”
“Sabre will have an immediate positive impact”
As a combined portfolio, Sabre and Radixx will offer innovative and comprehensive solutions for all segments of the market – from LCC to network carriers – backed by best-in-class technology and broad expertise. However, Sabre plans to operate Radixx as a standalone subsidiary through its Airline Solutions business.
“I am excited about our partnership with Sabre as it provides Radixx access to the power and expertise of the world’s leading travel technology company, enabling us to accelerate our growth and extend our addressable market,” said John Elieson, CEO, Radixx “Sabre will have an immediate positive impact on our existing customers and allow us to serve airlines previously beyond our reach.”