US software services firm Ebix has announced the acquisition of India’s Yatra Online through a merger deal with an enterprise value of US$337.8 million.
Following the completion of the transaction, Yatra will become part of Ebix’s EbixCash travel portfolio alongside Via and Mercury, and will continue to serve customers under the Yatra brand.
Ebix chairman, president and CEO Robin Raina said in a statement that the acquisition of Yatra would lend itself to “significant synergies”, as EbixCash emerges as India’s largest and most profitable travel services company, besides being the largest enterprise financial exchange in the country.
“Over the last few months, we have evolved a detailed synergistic plan, that once fully executed can provide between 40 to 75 cents of accretion to the Ebix non-GAAP EPS. We are excited by the cross-selling opportunities that this combination provides us, while further strengthening our future EbixCash IPO offering,” he added.
“Over the last several years, we have built Yatra into one of India’s most well-recognised e-commerce brands, growing into the leading corporate travel services provider and one of the largest consumer travel companies.
Becoming a part of Ebix’s EbixCash travel portfolio will enable us to continue on that path.
Said Dhruv Shringi, co-founder and CEO of Yatra Online: “As part of a larger diversified organisation with the necessary scale and resources to be a leader in today’s dynamic travel marketplace, we will provide more options and an enhanced experience for our joint customers and will be an even stronger partner to the airline, hotel, car rental and other businesses we work with.”