TBO Tek Limited, a leading travel distribution platform based in Gurugram, India, announced on September 3, 2025, its agreement to acquire Classic Vacations, a US-based luxury travel company, from Phoenix-based investment firm The Najafi Companies. The deal is valued at up to 125 million USD and represents a significant move for TBO to expand its footprint into the premium outbound travel market in North America. This strategic acquisition will combine TBO’s technology-driven global platform with Classic Vacations’ nearly five decades of brand equity and a network of over 10,000 luxury travel advisors across the US, accelerating the company’s ambitions of becoming a global leader in luxury travel.
Key Highlights of the Acquisition:
Deal Value: Up to 125 million USD
Classic Vacations Revenue: $111 million in FY 2024
Operating EBITDA: $11.2 million in FY 2024
Advisor Network: Over 10,000 luxury travel advisors in the US
Classic Vacations remains an independent brand within TBO’s portfolio
Strategic focus on combining tech capabilities with luxury travel expertise
Strategic Rationale and Growth Synergies
TBO Tek’s acquisition aligns perfectly with its expansion strategy beyond traditional B2B travel distribution by tapping into the premium luxury travel segment. Classic Vacations brings with it a well-established, elite B2B brand and a long-standing network of valued travel advisors and high-end suppliers. This acquisition enables TBO to blend its cutting-edge technology and extensive global inventory with Classic Vacations’ deep US market connections, expected to enhance customer experience and supplier partnerships significantly.
By integrating TBO's advanced technology platform with Classic Vacations' market presence, both companies will accelerate growth globally, addressing the rapidly growing demand for luxury travel, which is projected to increase substantially during the coming decade. TBO’s joint managing directors Gaurav Bhatnagar and Ankush Nijhawan emphasized that Classic will continue as an independent brand, leveraging TBO’s distribution power and tech tools to expand operations and reach.
Leadership Perspectives
Gaurav Bhatnagar, Co-founder and Joint Managing Director of TBO Tek, expressed enthusiasm about bringing Classic Vacations into the TBO family, highlighting Classic's trusted reputation and expertise as fitting seamlessly with TBO’s vision amid a fast-evolving travel industry. Ankush Nijhawan reinforced the company’s commitment to growth through both organic and inorganic means, signaling openness to future strategic alliances.
Melissa Krueger, CEO of Classic Vacations, underscored the advantage offered by TBO’s first-class technology platform, which is expected to provide their network of travel advisors with resources and insider connections unseen before in the wholesale travel market. She conveyed confidence that this partnership would solidify Classic Vacations as the premier luxury travel partner while expanding its presence on the global stage.
Background on Classic Vacations and Najafi Companies
Classic Vacations has been a dominant player in the US luxury travel market for nearly 50 years. It was acquired by The Najafi Companies in 2021 from Expedia Group. Jahm Najafi, Founder and CEO of The Najafi Companies, welcomed the acquisition by TBO, calling it a natural next step for Classic Vacations and highlighting its strong legacy and expertise in luxury travel. Najafi praised the successful partnership and growth achieved with Classic Vacations over the past four years.
Transaction Advisory and Legal Teams
The acquisition deal was supported by several advisors ensuring smooth financial and legal processes. Moelis & Company LLC served as the exclusive financial adviser for Classic Vacations, while Ballard Spahr LLP acted as legal counsel to Classic Vacations. On the TBO side, Cooley LLP provided legal advisory, and PricewaterhouseCoopers (PwC) facilitated financial and tax advisory.
Market Impact and Future Outlook
This strategic acquisition firmly positions TBO Tek as a formidable player in the global luxury travel market, especially in the lucrative North American segment. The combined strengths of TBO’s technology platform and Classic Vacations’ extensive luxury advisor network will enable the company to meet evolving traveler expectations better and drive sustained growth. With luxury travel demand on the rise, this alliance is likely to create significant value for customers, partners, and shareholders alike.
In summary, TBO Tek’s $125 million acquisition of Classic Vacations from The Najafi Companies marks a major step in expanding its global reach and strengthening its position in the luxury travel market. It combines the power of technology, brand equity, and an elite advisor network to capture growing outbound travel opportunities worldwide.
Source: PR Newswire, Business Standard, Rediff Money, Elite Wealth, Gulf News, Business Today, The Week, PTI News, Newswire Canada, and CNBC TV18
