NEW YORK— Facing mounting competition online and lower projected earnings, Pegasus Solutions Inc. is reportedly exploring its options, including shedding assets or an outright sale of the technology company. Pegasus, which provides reservation and marketing services to the hotel industry, as well as centralized travel reservation systems and commission processing, said it had hired Bear, Stearns & Co. to help the company review its strategic alternatives. In addition to a sale or merger, Pegasus also said it would consider joint ventures, divestitures and taking the company private. Analysts said potential suitors for Pegasus include industry rivals Cendant Corp., Sabre Holdings Inc. and Amadeus Global Travel Distribution SA, as well as information technology giant Electronic Data Systems Corp., which offers business process outsourcing services. Pegasus has a market capitalization of $252 million and a book value of $187 million, according to CIBC World Markets Inc. The companys enterprise value is roughly $285 million. Shares of Pegasus climbed in reaction to the companys move, trading 5 cents higher, at $11.61, off a 52-week high of $13.37.
Previous ArticleTwo Ramadas Purchased in Fayetteville, NC
Next Article Hyatt Regency Boston Completes $10.5M Renovation