IT services company Capita has purchased business travel company Expotel for £16m to "add reach and scale" to Capita's existing operations in the business travel market.
The deal, which is on a cash-free, debt-free basis, will also offer additional events and meetings management capabilities, Paul Pindar, chief executive of Capita, said in a statement.
Headquartered in Stockport, Expotel is a UK hotel, business travel and conference booking agent that generated £16.3m in revenue in the year to 31 October 2011, and counts the likes of National Grid, Virgin Media, the Scottish government and BP among its customers.
Expotel offers services through its recently re-launched self-booking portal that allows customers to receive discounted rates on over 100,000 hotels. The tool can be integrated with travel procurement systems such as Marakesh or be provided through an intranet portal. The firm also develops individual portals and provides customised management information.
Another recently launched offering is the Expotel Trade online procurement platform, which its partners use to get access to over 70,000 hotels and venues to help them to reduce costs.
Pindar said that the combined company would employ nearly 900 staff in 10 locations, and a company spokesperson told Computing that it had no plans to recruit further staff as a result of the acquisition.
Pindar added: "The combined company will be able to offer both bespoke, niche solutions and a unique end-to-end travel proposition to its current and future clients. In particular, with the public sector needing to drive down travel and subsistence costs, it will be in a strong position to help local and central government achieve these aims."