Sabre Holdings Corp. (BBB+/Negative/--) today announced its intent to make a cash tender offer for the approximately 30% of Travelocity.com that it does not already own. The purchase price would be approximately $345 million under the current terms. Standard & Poor's ratings and outlook on Sabre are unaffected by this announcement. The rationale for the acquisition is that "the long-term strategies of Sabre, the leading provider of technology, distribution, and marketing services for the travel industry, and Travelocity, the leading on-line travel site, are converging." The combination will allow both companies to pursue new revenue opportunities. Sabre also announced that it may consider "capital raising opportunities, including equity or equity-related securities." Sabre's negative outlook is based on the potential impact
