A bigger travel platform
Lama Group, a DMC in the UAE, and Carfare, a privately-owned comprehensive mobility solution group, recently announced the signing of an agreement to merge two premier services in the hospitality industry.
The
strategic move will create a combined company worth over Dhs365 million. Both entities will retain their brand names, but will operate under BK Group Holdings, and will offer complete travel and mobility solutions to more than 2.5 million customers of the group.
Worth US$ 100 million, we have grown ten times and are now one of the largest travel companies in the region
“The expansion of Dubai’s infrastructure in preparation for Expo 2020 has motivated us to take this step and invest for the future,” said Kulwant Singh, CEO and MD of the new group. He will share 50:50 ownership of the new entity.
Talking about the merger, Singh said, “With this merger, we have grown more than ten times in size. This brings us a lot of infrastructure, a lot of raw material. Worth US$ 100 million, this makes us one of the largest travel companies in the region. Earlier, we had around 470 cars, now we'll have around 3,500 cars. We had around 20 luxury coaches and 50 limousines; we will now have 100 luxury coaches and 200 limousines, besides investing in another 200 chauffeur-driven limousines."
He continued that with the merger, their offices in UAE will increase from six to 40. "With the new merger, we will be investing in more resources, more verticals, and will be starting the new LAMA Visa Express service centres.”
“Both our companies have witnessed high growth and success over the years, so it made sense to combine our strengths. We will be able to significantly broaden our reach in the UAE, and continue to take substantial market share from existing competitors. This merger gives us the advantage to create a truly global company, a market leader in providing complete travelling solutions for both individual and corporate clients,” said Jasbir
Bassi, MD of both the Groups.
The merger will allow the companies to diversify growth opportunities while continuing to invest in its current business. Nearly Dh50million will be invested in infrastructure projects in the next six months to supply the demand that will be generated after the merger.
The expansive network and diversified portfolio of
This merger allows us to create a truly global company, a leader in providing full travel solutions
Jasbir Bassi Managing Director LAMA and CarFare
products and services of the combined organisations will strengthen the company’s ability to serve a large number of resident customers and arrivals from India, the GCC and other markets. Both companies will exhibit at this year’s Arabian Travel Market to inform business partners about the merger and seek potential clientele. The company will have the strength of 650 employees working across a network of 14 branches in the UAE and nine abroad. BK Group Holdings Co., will expand both companies operations into a new head office in Dubai Investment Park, spread over nearly 40,000 sq ft and service center.