IBS Software (a leading SaaS solutions provider to the global travel industry) announced it has reached an agreement to acquire the ground-breaking hotel and travel technology provider Above Property Services (APS). The $90 million deal will further solidify IBS Software’s position in the hospitality market and strengthen the brand to underpin an ambitious expansion of its reach in the hospitality industry.
The strategic deal will enable IBS Software to provide the only unified platform in the hospitality industry for seamlessly managing the entire customer journey from booking to fulfillment for the global hotel chain, resort, and gaming markets. And the move will significantly expand the company’s offering with the addition of cutting-edge CRS (Central Reservation System), PMS (Property Management System) and RMS (Revenue Management System) solutions. Through this acquisition, IBS Software adds Call Center and Demand-side (stored and third-party inventory) solutions to its already established booking engine and distribution platform used by over 36,000 hotels worldwide, including many of the world’s largest and best-known hotels and resorts.
APS was founded in 2012 by Aaron Shepherd, which is an industry pioneer who developed a number of the world’s leading hospitality PMS and CRS solutions. And the company was established to completely reinvent hotel software from the ground up, offering a revolutionary cutting-edge unified platform optimized for the hotel enterprise sector. Typical hotel organizations require multiple core software platforms to capture bookings and provide services, requiring multiple vendors and integrations. Each system needs unique logins, user interfaces, training requirements, upgrade paths, pricing and contract terms, breeding inefficiency, especially considering 80% of the data in each application is redundant and has to be replicated or synchronized.
In the last decade, APS’ platform has created a new standard for speed, flexibility and stability for travel and hospitality CRS, PMS and RMS, enabling businesses to transform how they connect with guests and drive revenues, while significantly streamlining operations.
Through this deal, IBS Software will substantially extend its total addressable market and capitalize on the growing demand.
Steffan Berelowitz, Head of the Hospitality Business at IBS Software, will lead the development and expansion of the hospitality business, working closely with Aaron Shepherd.
The deal is subject to customary closing conditions.
KEY QUOTES:
“IBS Software and APS both recognize the crucial need to accelerate next-level transformation in travel and hospitality to create unparalleled value for its clients. It is this shared vision that has inspired our collaboration. APS has successfully developed the only unified cloud-native microservices platform that frees operators from the limitations of legacy, monolithic technologies, providing flexibility, speed, and the ability to scale infinitely. Today’s news gives APS customers the stability and resources of a large, multi-national travel leader and will give IBS Software clients and partners access to the most modern and comprehensive modular solution in the industry, ushering in a new era of growth and propelling them to new heights. I personally, am delighted to be joining IBS Software and very excited to be part of this evolution as an industry leader, with the acquisition of APS.”
— Aaron Shepherd, Founder and CEO of APS
“There is an unmet need in the hospitality industry to simplify how rooms and other services are sold. Too many businesses are being held back by legacy technology that prevents them from living up to their potential. It’s vital they have the tools they need to be effective in a rapidly changing marketplace. We were blown away by the capabilities of the ground-breaking APS platform and the value it delivers to travel businesses, providing them with the power to simplify their tech stack to instantly create new services and offers. We are very excited to bring Aaron Shepherd and his entire team onboard, and with this IBS Software and APS will be uniquely placed to offer the only unified platform for the global hospitality chain and enterprise market. We couldn’t be more excited about what we can achieve together.”
— Peter Krebs, Head of Travel & Hospitality Solutions at IBS Software
“APS is a true disruptor in the travel tech industry. Led by Aaron Shepherd, a visionary in the sector, the team has executed flawlessly on its vision to streamline complex processes in the hospitality businesses to deliver integrated, end-to-end services that differentiate and improve the customer experience. This acquisition will significantly enhance IBS Software’s offerings in hospitality, expanding our market reach and win market share in multiple segments, including medium to large hotel chains as well as luxury, resort and gaming customers.”
— V K Mathews, Founder and Executive Chairman of IBS Software
