(Reuters) -Sabre Corp said on Monday it will sell its hospitality software platform to asset manager TPG for $1.1 billion and use the cash to pare its debt, lifting the travel technology provider’s shares nearly 26% in early trading.

The company had a market capitalization of $845 million as of last close, according to LSEG data. In contrast, its total debt stood at about $4.5 billion, net of cash, as of December-end, according to its annual filing.

Sabre (NASDAQ: SABR ) has made several moves to pare its debt, including refinancing in December and the repayment of debt maturities earlier this month, the company said.

Monday’s deal comes a month after Reuters reported that Sabre was exploring a sale of its hospitality software SynXis to help pare its debt.

TPG will invest in the unit through its U.S. and European private equity platform, with the transaction expected to close by the end of the third quarter 2025.

Sabre’s SynXis serves as an integrated system of record for reservation and guest information.

The deal also comes at a time of uncertainty for the travel industry due to fears of an economic recession stemming from U.S. President Donald Trump’s sweeping import tariffs.

Many airlines, including legacy carriers Delta, Southwest