U.S.-based travel company Classic Vacations is set to be acquired by India's travel distribution giant TBO, as announced by Najafi Companies.

In a significant move for the luxury travel industry, Gurugram-based TBO has announced the acquisition of Classic Vacations from The Najafi Companies for an estimated total purchase of up to $125 million.

The acquisition, which aligns with Classic Vacation's exclusive B2B brand and elite, high-value advisor network, was facilitated by Moelis & Company LLC, who acted as the exclusive financial adviser to Classic Vacations in this transaction. Cooley LLP and Ballard Spahr LLP served as the legal advisors for TBO and Classic Vacations respectively.

Jahm Najafi, founder and CEO of The Najafi Companies, stated that this acquisition and partnership is a natural next step for their portfolio company. Over the last four years, The Najafi Companies had successfully worked with Classic Vacations, maximising the company's strengths and expertise in luxury travel.

Classic Vacations, with a proven track record of delivering value to partners and travelers alike, has more than 10,000 travel advisors in the U.S. The company's longstanding delivery of outstanding services makes them a seamless fit for TBO's vision in the travel and tourism industry, according to Gaurav Bhatnagar, TBO's cofounder and Jt. Managing Director.

After the acquisition, Classic Vacations will continue as an independent brand while leveraging TBO's technology and distribution capabilities to grow their business. Ankush Nijhawan, cofounder and Jt. Managing Director of TBO, stated that the acquisition continues to further their strategy to invest in both organic and inorganic growth opportunities.

Founded in 2006, TBO is a global travel distribution platform that connects over 159,000 travel buyers and 1 million travel suppliers in more than 100 countries. TBO's tech-centric solutions will allow Classic Vacations to bring more resources, tools, and insider connections to their valued travel advisors.

Melissa Krueger, CEO of Classic Vacations, expressed excitement for the next phase in their company's journey, citing TBO's tech-centric solutions as fully geared toward their travel advisor community. The acquisition strengthens Classic Vacations' position as the premier luxury partner in the market while extending their reach onto the global stage.

For the fiscal year ended Dec. 31, 2024, Classic Vacations reported revenue of $111 million and operating EBITDA of $11.2 million. The acquisition marks a significant step forward for both companies, promising a future of growth and innovation in the luxury travel sector.

U.S.-based travel company Classic Vacations is set to be acquired by India's travel distribution giant TBO, as announced by Najafi Companies.