Online travel firm MakeMyTrip on Monday announced it has signed a "business transfer agreement" to acquire the Happay expense management platform from fintech firm Cred.
This acquisition allows MakeMyTrip to strengthen its position in the corporate travel and expense management sector.
As part of the agreement, Happay's brand, expense management business, and its team will transition to MakeMyTrip, while CRED will retain Happay’s payments division, including its recently launched B2B payments solution on Bharat Connect, developed in partnership with NPCI.
"We have consistently outpaced industry growth in corporate travel by focusing on innovation and seamless user experience," said Rajesh Magow, Co-Founder and Group CEO of MakeMyTrip. "Acquiring Happay’s brand and platform is a strategic step to further solidify our leadership in the corporate travel space."
Founded in 2012 by Anshul Rai and Varun Rathi, Happay provides travel and expense management software to corporates and enables large enterprises to issue prepaid and credit cards to businesses. It was acquired by Kunal Shah-led Cred in the year 2021 for $180 million.
The transaction, expected to close within 90 days, will allow Happay’s team to continue supporting its clients, over 900 as per the firm, while working closely with MakeMyTrip’s corporate travel services team.
“By allowing each vertical to focus on its strengths, we’re setting both teams up for growth. We look forward to seeing the payments team transform the B2B payments experience," said Kunal Shah, Founder of CRED.
The deal is aimed at bolstering MakeMyTrip’s corporate travel offerings, which serves 59,000 small and medium-sized clients via its MyBiz platform and over 450 large enterprises via Quest2Travel.
MakeMyTrip reported a revenue of $211 million for the second quarter of this fiscal year, a 24.3 percent increase compared to the same quarter in the previous fiscal year, while profit stood at $17.9 million.
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