Amex GBT agrees to $6.3 billion take-private deal with Long Lake Management

American Express Global Business Travel (Amex GBT) has entered a definitive agreement to be acquired by Long Lake Management in an all-cash transaction valued at $6.3 billion. The deal represents a significant shift for the corporate travel sector, marking the first take-private acquisition for Long Lake, a private equity firm backed by General Catalyst, Alpha Wave, and Koch Inc. Under the terms of the offer, existing shareholders will receive $9.50 per share, which translates to a 60.2 per cent premium over the stock's closing price on May 1.

The transaction is expected to close in the latter half of 2026, subject to the necessary regulatory approvals. Following the announcement, Amex GBT shares surged 57 per cent in pre-market trading. The acquisition will take the company private, removing it from public markets while retaining its operational structure. American Express, which holds approximately 30 per cent of the outstanding shares and is the largest single shareholder, is set to receive $1.5 billion in cash alongside a pre-tax gain of $975 million.

A significant majority of the company's owners have already indicated their support for the move. A bloc comprising Expedia, the Qatar Investment Authority, BlackRock, and American Express accounts for 69 per cent of outstanding shares and has formally committed their votes in favour of the transaction. To facilitate the $6.3 billion purchase price, a complex debt package has been arranged by JPMorgan Chase, Bank of America, Citigroup, and Mitsubishi UFJ Financial Group, while Koch Inc.'s investment arm has joined the equity investor base.

Operational continuity remains a key feature of the deal, with both parties stating that existing commercial agreements and the use of the American Express brand are not expected to change. Amex GBT's CEO, Paul Abbott, described the agreement as delivering a compelling outcome that provides shareholders with substantial, certain cash value. The company's special committee engaged Rothschild & Co for advice, while Long Lake was guided through the process by Citigroup, JPMorgan Chase, and Bank of America.

Long Lake's strategic rationale centres on leveraging artificial intelligence to fundamentally transform how corporate travel operates. The acquirer has developed a platform called Nexus to pursue this goal and has previously consolidated its position in the market through a $540 million acquisition of CWT last September. Long Lake co-founder and CEO Alex Taubman emphasised that the future of business travel will be defined by AI and human agents working seamlessly together.

Founded as a corporate travel spinout from American Express in 2022 via an Apollo-backed SPAC, Amex GBT currently offers software and services spanning travel, expense management, and meetings and events. The company now faces competition from major players such as Booking Holdings, BCD Travel, and Navan. With the deal structured to preserve the company's established market position while injecting new capital and technological focus, the transaction positions Amex GBT for a private phase focused on long-term growth.