4 days Ago By Kamya Pandey
Explainer Briefly Slides Online travel aggregator MakeMyTrip has acquired CRED’s expense management platform Happay. MakeMyTrip said that this acquisition is a part of the company’s commitment to become the “go-to platform for comprehensive corporate travel and expense management solutions.” This acquisition is a “business transfer agreement,” under which Happay’s brand, its expense management business, and its team will transition to MakeMyTrip.
The companies expect the transaction to close in the next 90 days. During this period, Happay’s team will continue to serve its 900+ corporate clients in collaboration with MakeMyTrip’s corporate travel services. While Happay’s expense team is moving to MakeMyTrip, its payments business and team, which works on developing business payments products, will remain with CRED.
Most recently, this vertical launched a business-to-business (B2B) payments solution on Bharat Connect in partnership with the National Payments Corporation of India (NPCI). MakeMyTrip and Cred’s financial performance: As per MakeMyTrip’s recent earnings release (for the quarter ending on September 30), the company has made a profit of $17.94 million.
This indicates a 797% increase compared to the same quarter last year where it stood at $2 million. MakeMyTrip’s total revenue for the quarter was $210.99 million, which is 25.
1% higher than the same quarter last year when it stood at $168.7 million. “We continue to be positive about the long-term outlook of India’s travel and tourism market and stay committed to further accelerating efforts to expand our supply partnerships and deepen engagement with our customers,” MakeMyTrip Group CEO Rajesh Magow had said commenting on the company’s results for the quarter.
The recent acquisition could be a step towards this expansion. On the other hand, as of September this year, CRED had an operating loss of Rs 609 crore, according to a report by Entracker. While currently operating at a loss, the company’s losses shrank by 41% in the Financial year 2024, compared to its losses last year which stood at Rs 1,024 crore.
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