Tue Aug 13, 2013 9:44am EDT
(Reuters) - Orbitz Worldwide Inc said PAR Capital Management, its largest shareholder, sold 8.1 million of the 24.6 million shares it owned in the online travel agency, and the stock dropped 11.8 percent on Tuesday.
In a statement from Orbitz, PAR President Paul Reeder said the Boston investment management firm sold the shares in an effort to "better diversify our portfolio."
Reeder said PAR Capital was "optimistic" about the future of Orbitz, which last week reported second-quarter earnings that topped analysts' average estimates and raised its 2013 revenue outlook.
"We are especially excited about the accelerating growth that we are seeing in the company's hotel business," Reeder added.
PAR Capital was Orbitz's largest shareholder, holding a 23 percent stake at the end of March, according to Thomson Reuters data.
Shares of Orbitz were down $1.39 to $10.35 in morning trading. Even with Tuesday's slide, the shares have increased nearly fourfold so far this year.
(Reporting by Karen Jacobs in Atlanta; Editing by Jeffrey Benkoe)
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