MakeMyTrip Com­pletes ibibo Merger; Gets $82.8m

The Economic Times - - Disruption: Startups & Tech - Vikas.SN@

timesin­ter­net.in Ben­galuru: ibibo Group par­ent has contributed around $82.8 mil­lion cash to MakeMyTrip as the lat­ter com­pletes the merger of its In­dian travel busi­ness with Naspers-owned ibibo Group, nearly three months af­ter the ini­tial an­nounce­ment. The deal, which marked the com­ing to­gether of two of In­dia’s largest travel book­ing por­tals, was first an­nounced in Oc­to­ber last year and had re­ceived the ap­proval of Com­pe­ti­tion Com­mis­sion of In­dia last fort­night.

At the time, MakeMyTrip had said it plans to close the trans­ac­tion on or around Jan­uary 31, 2017. MakeMyTrip said that as part of the trans­ac­tion, it has is­sued 38.91-mil­lion Class-B shares to the par­ent of ibibo Group.

These shares are worth about $1.26 bil­lion ac­cord­ing to the trad­ing price of $32.5 of the com­pany on Nas­daq on Tues­day morn­ing.

The en­tity, which is jointly owned by Naspers and Ten­cent, has also pur­chased 413,035 new or­di­nary shares of MakeMyTrip at $21.19 per share for a to­tal cash con­sid­er­a­tion of $8.75 mil­lion. The merger now brings to­gether travel brands like MakeMyTrip, goibibo, redBus, Ryde and Right­stay un­der a sin­gle en­tity, which to­gether pro­cessed 34.1 mil­lion trans­ac­tions dur­ing the fi­nan­cial year 2016.

The merger brings to­gether brands like MakeMyTrip, goibibo, redBus, Ryde and Right­stay un­der a sin­gle en­tity, which pro­cessed 34.1 mil­lion trans­ac­tions dur­ing FY 2016

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