Providing reservations and distribution services wasn't enough so Pegasus Solutions acquired hotel-marketing company Open Hospitality.
New York-based Open Hospitality and its staff of 35 provide hotels with website design, online marketing, search engine optimization, mobile website development and social media services, and will operate as a division of Pegasus.
David Millili remains CEO of Open Hospitality and becomes chief web officer of Pegasus Solutions. Terms of the deal were not disclosed.
The acquisition positions Pegasus as a vertically integrated company, offering a more complete set of solutions to the hotel industry. Pegasus is known for is RezView NG central reservations system and electronic distribution services.
"We could see that we were missing an ingredient and now we've completed the recipe," says Mike Kistner, CEO of Pegasus Solutions, referring to Open Hospitality. "It was too good an opportunity to pass up."
Adding a Web-marketing component to the portfolio is consistent with industry trends. Sabre Hospitality, too, for example, offers distribution and e-marketing services to the hotel industry.
Millili of Open Hospitality says the move will enable hotels to boost their visibility and reservations prowess, and will allow Open Hospitality to expand internationally.
Pegasus Solutions and Open Hospitality have been partners for about five years, and the acquisition enables them to approach independent, group and chain hotels with a more complete solution.
Kistner says the acquisition also enables Dallas-based Pegasus to establish a "beachhead" in New York to expand the company's presence there.