Nasdaq-listed Ebix, also the parent company of ItzCash, said that it has acquired Indian online travel agent (OTA) Via.com for approximately $74.9 million.
The acquisition will help US-based Ebix to enter the travel segment, expand geographies and enter South East Asia (SEA) region, and further strengthen Ebix’s position in the Financial Exchange market in India. Ebix will consolidate Via into its own EbixCash (earlier ItzCash) platform.
Ebix said in a statement that the acquisition will enable the company to expand its distribution network to over 2.2 lakh retail/distribution outlets in SEA, along with offering significant cross-selling opportunities for Ebix’s EbixCash Financial Exchange portfolio of products.
The acquisition will be made through a Singapore subsidiary of Ebix and is expected to be closed in the coming days. Ebix also announced that it expects the business to generate around $33 million in GAAP revenues in 2018 with approximately 30 percent operating margins. The RainMaker Group acted as the sole financial advisor to Shareholders of Via. Ebix did not use any investment bankers for the transaction.
Incorporated in February 2007 in Bangalore, India, Via is a distributor of transportation ticketing, accommodation reservation, packaged tours, corporate travel management, travel ancillaries, retail and financial services such as money transfer, insurance, recharges etc. VIA has its footprints to Philippines, Indonesia, Singapore and UAE.Via said in a statement that it has close to 5% share in both domestic & international airline ticketing in India, 10% in Philippines, 2.7% in Indonesia, 2.1% in Singapore.
Via claims to have grown at a CAGR of 45% over the last 3 years, and said in statement that it has 110,000 distribution outlets and 8000 corporate clients. It also claims that,Via.com processes over 24.5 million transactions every year.