Priceline to Buy OpenTable for $2.6 billion

NEW YORK: Priceline Group, an online travel agent, agreed to buy OpenTable in an all-cash deal valued at $2.6 billion , gaining a popular Internet restaurant reservation company.

The $103-per-share offer is 46% higher than OpenTable’s closing price on Thursday. The deal is expected to be completed in the third quarter, the companies said in a statement on Friday.

Priceline is buying a company that seats over 15 million diners per month across more than 31,000 restaurants via online bookings.

As consumers increasingly use services like OpenTable on mobile devices, the deal boosts Priceline's presence on smartphones and further connects the company to local businesses.

"OpenTable would be a good asset for anyone trying to build out a local or mobile ecosystem," Tom White, an analyst with Macquarie Group, said last month.