American Express to Buy Digital Restaurant-Services Company

By Micah Maidenberg 

American Express Co. has agreed to buy restaurant-services platform Resy Network Inc., as the credit-card provider looks to add to its portfolio of travel and dining companies.

American Express said Tuesday it wanted to buy Resy in order to build out its suite of digital services, which include the personal-travel-assistant app Mezi and a dining-reservation firm focused on the U.K. called Cake Technologies. Deal terms weren't announced.

Founded in 2014, Resy is part of a new crop of companies that offer restaurateurs digital tools for managing tables, keeping track of customers and processing reservations. The company works with about 4,000 restaurants, seating more than 2.6 million diners a week.

It competes with OpenTable, the Booking Holdings Inc. business that has a much larger reservations business, and other newer companies like SevenRooms.

"We look forward to working with the Resy team to continue to grow the Resy digital platform, and develop new ways to further connect our card members and restaurant partners through unique access and experiences," Chris Cracchiolo, American Express's senior vice president focused on global loyalty and benefits, said in prepared remarks.

The acquisition is expected to be completed this summer. After the deal, Resy will continue to be led by its co-founder and chief executive, Ben Leventhal.

Resy's backers include Airbnb Inc., which in 2017 led a $13 million funding round in the restaurant-focused company.

Write to Micah Maidenberg at [e-mail]

(END) Dow Jones Newswires

May 15, 2019 10:31 ET (14:31 GMT)

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