Online travel company, MakeMyTrip has announced acquisition of a minority stake in Bangalore based HolidayIQ. As per MakeMyTrip, the company is going to pick up around 28% stake in HolidayIQ for $15 million.
Acquisition of minority stake of 28% will complete by July 2015.
HolidayIQ is a popular Indian travel community and holidays-planning recommendation engine. As per the company, fund raised from MakeMyTrip will be used to further strengthen its capabilities on Content, Mobile and Product.
Earlier to this acquisition, HolidayIQ had raised series A before from Tiger Global and Accel Partners.
MakeMyTrip has presence in US, UAE, Singapore, Thailand and Malaysia. The company services and products include air tickets, customized holiday packages, hotel bookings, railway tickets, bus tickets, car hire and facilitating access to travel insurance.
HolidayIQ is a holiday planning website powered entirely by reviews, photos, videos and other advice generated from Indian travelers.
As per the company, around 11 million Indian travelers plan their vacations on HolidayIQ.com every month of which over 70% activity is through mobile devices.
HolidayIQ.com lists over 2000 tourism destinations & over 50,000 accommodation options such as hotels, resorts, home-stays, jungle camps & serviced apartments in India. All of which are bookable through over 1600 partnerships with leading online travel agencies like Makemytrip, Yatra and Expedia & offline players such as Thomas Cook, SOTC, etc
During the first quarter FY 2015, MakeMyTrip has reported a loss of US$ 6.94 million and announced its investment of USD 5 million in Bona Vita.
Hari Nair, Founder & CEO of HolidayIQ, Said – ‘Disruption is a way of life at HolidayIQ and today we power millions of travelers every month in making smarter travel decisions based on the reviews and insights from other Indian travelers. Mobile is creating new unprecedented opportunities for growth and innovation. This capital gives us additional resources to expand quickly and strategically and accelerate pace of product innovation. We look forward to working closely with MMT in getting a much larger number of Indian travelers to participate in the creation of Indian traveler opinion ‘.