How to sell a travel technology company to a strategic acquirer
The best way to successfully exit to a strategic acquirer is through a tech licensing deal that transitions into an investment or acquisition. The most lucrative deals I’ve witnessed were derived from a commercial relationship or a perceived potential for a commercial deal between the buyer and the seller.
The majority of my strategic buyers are in the C-suite or corporate development department. I can enter a conversation with a CEO or CTO about licensing a technology and it can easily morph into a discussion about an investment or acquisition. The reverse is true as well. Sometimes I pitch a CFO or CEO an investment or acquisition opportunity and the conversation turns towards licensing the technology.
I recently pitched an investment opportunity to a large US OTA and an acquisition opportunity to an Asia super-app.
After the OTA internally reviewed the startup for an investment they realized that an ancillary product the startup had was something they were interested in. My conversation with the CFO and head of corporate development transitioned into a combination, investment, plus a technology commercialization deal.?????
After the super-app reviewed the company for an acquisition, they came back to me and said that they would like to discuss licensing the technology first.?
One of the best acquisitions I’ve seen in the business travel vertical was the sale of MEZI to American Express. If you read the story, you’ll learn that MEZI was 6-months into a beta-testing agreement when Amex acquired them for close to $100M.
If you’re interested in raising capital or selling your business, use your technology as an entry point and leverage to get an investment or an exit down the road.
About Matt Zito: I’ve co-founded and sold 2 travel companies as an entrepreneur, a ski travel OTA and a boutique lodging property. I’ve been through 4 M&A transactions as a travel technology investor.?I am currently representing the sale of 3 operating companies, 2 technologies and I am helping a company raise a Series-A round. In addition to M&A, TSI helps companies license their B2B technologies. See our M&A, technology licensing and capital raise listings below.
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Contacts: [email protected] | WhatsApp 1-207-460-0740
Travel Companies & Technologies for Sale - https://www.travelstartups.co/ma/
Travel Technology Available to License - https://www.travelstartups.co/grow/
Travel Companies Raising Capital - https://www.travelstartups.co/grow/
100% M&A is always better when there is a buy/sell collaboration between the two entities involved!