June 13 - The online travel booker is paying a 46 pct premium for OpenTable. Breakingviews columnists argue Priceline needs to whip up some juicy cross-selling recipes for the deal to stack up.
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A prize fight the growing list of companies willing to full private. Loads of cash to gobble up a company it's buying. Opentable the online restaurant booking service and it's paying a whopping 46% premium -- Broke even looking at this what do we what do we think it is if you think it about middleman yet Priceline ever and residents are willing chatter but actually it's big business booking dot com. That it does it it takes European small hotels what's my line. It takes chunk of the our reservations here people -- this us open -- kind of similar you think about it you know they set up they help. Match. Customers and restaurants threat and it takes kind of feeds -- for the sake of a -- similar business model they just going to be in different parts of the senate isn't strictly instinct thing is that Opentable has done. Okay United States that they haven't really done very well overseas and pressed on the other hand it's just. Done phenomenally oversees about over 90% -- -- they -- -- this is -- -- exactly yeah and they've done very well expanding in this and you can't. New countries and then you know there's there's an obvious link that right between. School and tell small restaurant same maybe the same customers -- travelers. Same customers but also. I mean clearly priceless 64 billion dollar market kept a much much be accompanied him they said this on the coolest way I think there's room for them to help. Opentable get away from hardware which has been selling maybe it's the -- We which could make it easier to -- to get into restrooms. And also to help them expand overseas as as rob says. In markets where they also this kind of ways you can see Opentable plugging into that machine and being worth. You have more considerably more than possibly they paid for bill but it has to get well. Got asked if you look at the statistic that quick so -- -- this morning. Prize -- When this heightened talent deal isn't to -- pretty -- in the deal with the class a stock is down was a lot of require us to look at recent. As to how rough because I think the premium that paying a hundred millions. 1% -- the money invest somebody considering hasn't been much of I'm from the revenue ethical investors probably can't think it's a big premium and you know it. They probably get Priceline admitted that it probably should get in there -- -- track record. However is the thing that Pressly is that it did these acquisitions. Several years ago when there's -- competition is a lot more competition nowadays and Opentable one of the reasons that had trouble expanding overseas through taxes because there are homegrown alternatives front. To preserve God's work and effort you know and if it does well if it's because well they'll. Do pretty well. But -- Richard thanks very much and will be back with rule breaking -- next week.
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