TBO Tek Share Price Jumps 15% After $125 Million Classic Vacations Deal | Stock Market Today

Market Performance

The spotlight was firmly on TBO Tek share price in the stock market today as the stock surged nearly 15% intraday on Wednesday, September 3. Investors reacted strongly after the company announced a major acquisition move in the global travel space.

The rally pushed the stock to a day’s high of ₹1,591.55, though it still trades about 20% below its 52-week peak of ₹2,000 (September 2024). On the flip side, the stock had touched its 52-week low of ₹985.70 in April 2025.

While Wednesday’s jump lifted sentiment, it is worth noting that the stock has had a difficult run in 2025 so far—down 22% year-to-date and nearly 23% lower over the past one year.

The Big News: TBO Tek’s $125 Million Acquisition

The sharp move in TBO Tek share price came after the company announced it will acquire US-based Classic Vacations from Phoenix-headquartered Najafi Companies in a deal worth up to $125 million.

This acquisition blends TBO Tek’s technology-driven travel distribution platform with Classic Vacations’ network of 10,000+ luxury travel advisors and suppliers, strengthening its footprint in the premium outbound travel market.

What stands out is that Classic Vacations will continue operating independently, but with access to TBO’s global technology stack and distribution strength—offering it scalability and efficiency without losing brand identity.

Company Details & Strategic Fit

For TBO Tek, this deal marks an important pivot into the luxury travel segment, an area where Classic has built credibility over five decades.

• Classic Vacations: A well-established premium B2B brand with deep ties in the luxury advisor community.
• TBO Tek: A global distribution platform linking over 159,000 travel buyers with 1 million suppliers across 100+ countries.

By joining forces, the two aim to unlock new growth avenues, especially in high-value outbound travel where personalization and premium services drive customer choice.

Financial Snapshot of Classic Vacations

Classic Vacations closed FY2024 with solid numbers, making it an attractive buyout:

• Revenue: $111 million
• Operating EBITDA: $11.2 million

The acquisition is set to close by the first week of October 2025, subject to closing conditions. Notably, this deal does not require any regulatory or government approvals—smoothing the path for a quick turnaround.

Transaction Structure & Funding

To finance the acquisition, TBO Tek lined up multiple funding sources.

• The board approved an inter-corporate loan of over ₹350 crore to wholly-owned arm Tek Travels DMCC for a five-year term.
• Tek Travels DMCC will provide a letter of comfort and corporate guarantee to secure $70 million in credit facilities from Standard Chartered Bank for TBO LLC.

On the advisory side:

• Classic Vacations was advised on the transaction by Moelis & Company LLC.
• Ballard Spahr LLP represented Classic on legal matters.
• Cooley LLP and PwC assisted TBO with legal, financial, and tax structuring.

Stock Market Reaction

The market welcomed the announcement with enthusiasm. The sharp rally highlights how investors view this acquisition as a strategic play into a profitable segment.

• Day’s high: ₹1,591.55 (up 15%)
• 52-week high: ₹2,000 (Sept 2024)
• 52-week low: ₹985.70 (Apr 2025)
• YTD performance: -22% before this rally
• 1-year performance: -23%

Despite the longer-term underperformance, the deal has reignited optimism around the stock’s growth potential.

Summary

In simple terms, TBO Tek’s $125 million acquisition of Classic Vacations is more than just a deal—it’s a statement of intent. By combining TBO’s tech-driven scale with Classic’s luxury brand strength, the company is positioning itself in a segment with higher margins and long-term demand.

For the market, the immediate impact was clear—the TBO Tek share price jumped 15% intraday, giving investors a reason to relook at a stock that has otherwise lagged in 2025.