Biztravel.com acquires two travel companies and secures $10 million in financing.NEW YORK--(BUSINESS WIRE)--Aug. 5, 1996--Biztravel.com, an Internet-based business travel service, announced today both the acquisition of two travel companies and the completion of approximately $10 million in equity financing Equity Financing The act of raising money for company activities by selling common or preferred stock to individual or institutional investors. In return for the money paid, shareholders receive ownership interests in the corporation. led by Goldman, Sachs & Co. The company, formerly named Middlegate Inc., changed its name after it acquired Biztravel.com, an online magazine and information resource for business travelers (http://www.biztravel.com). The company has also acquired Status.com, an Internet-based service that tracks enrollees' points/miles in popular frequent flyer/stayer programs (http://www.status.com). "We are extremely pleased with these acquisitions, as they position us precisely where we want to be, as the place to go on the Web for business travel," said John I. Williams Jr., president and CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. of the new Biztravel.com. One of the principal investors was Informix Corp., the leading provider of database technology, based in Menlo Park Menlo Park. 1 Residential city (1990 pop. 28,040), San Mateo co., W Calif.; inc. 1874. Electronic equipment and aerospace products are manufactured in the city. Menlo College and a Stanford Univ. research institute are there. 2 Uninc. , Calif. In addition, Biztravel.com attracted backing from individual investors based in Europe and Asia, as well as from the initial backers Intel Corp., Accel Partners, New Enterprise Associates and Hummer Winblad Venture Partners. "In our investors we have found partners that really understand both the travel and technology marketplaces. For us to secure backing from companies such as Informix and Intel is tremendously exciting. It's clear indication to us that we are carving carving, n the shaping and forming with instruments. a valuable niche by focusing the company's energies on serving frequent business travelers. No one else on the Web is addressing their specific needs," Williams commented. The acquisition of Biztravel.com and Status.com, together with the financial resources and strategic relationships reflected in the private placement, provide the company with the potential to increase its global market presence more rapidly and realize its objective to be the leading Internet Internet Publicly accessible computer network connecting many smaller networks from around the world. It grew out of a U.S. Defense Department program called ARPANET (Advanced Research Projects Agency Network), established in 1969 with connections between computers at the company for frequent business travelers. In particular, the acquisition of Status.com has enabled Biztravel.com to strengthen its relationships with top-tier travel-related loyalty programs, including American Airlines' AAdvantage, United Airlines' Mileage MILEAGE. A compensation allowed by law to officers, for their trouble and expenses in travelling on public business. 2. The mileage allowed to members of congress, is eight dollars for every twenty miles of estimated distance, by the most usual roads, from his Plus, Marriott's Miles and Honored hon·or n. 1. High respect, as that shown for special merit; esteem: the honor shown to a Nobel laureate. 2. a. Good name; reputation. b. Guest Awards and Hilton's HHonors, with more soon to follow. "Our Status service really sets us apart from our competition by solving an important problem for our travelers -- how to keep track of where they are in multiple travel-frequency programs. With the average business traveler enrolled in five-six of these programs, our partners recognize the customer's need to have convenient access to this information all in one place on the Web," Williams said. Biztravel.com is developing a peerless software application that will enable business travelers to plan and book their own business trips using the Internet. The company's target market is autonomous business travelers, primarily in small to mid-size companies and home offices, rather than Fortune 500 companies with corporate travel managers and elaborate travel policies. "Our aim is to serve frequent business travelers who want to be enabled, not restricted," said Williams. Biztravel.com, with headquarters in New York City New York City: see New York, city. New York City City (pop., 2000: 8,008,278), southeastern New York, at the mouth of the Hudson River. The largest city in the U.S. and principal development offices in Cambridge, Mass., provides Internet-based travel and travel-related services to frequent business travelers and their administrative assistants. CONTACT: Biztravel.com, New York New York, state, United States New York, Middle Atlantic state of the United States. It is bordered by Vermont, Massachusetts, Connecticut, and the Atlantic Ocean (E), New Jersey and Pennsylvania (S), Lakes Erie and Ontario and the Canadian province of John Williams This biographical article or section needs additional references for verification. Please help [ to improve this article] by adding additional sources. Unverifiable material about living persons must be removed immediately, especially if potentially libelous or harmful. , 212/696-9800, ext. 214 jwilliams@biztravel.com or Connors Communications, New York Lydia Trettis, Lisa Rose, 212/807-7500 lydia@connors.com, lisa@connors.com |
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