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In second acquisition ahead of IPO, ixigo buys AbhiBus

In second acquisition ahead of IPO, ixigo buys AbhiBus
Photo Credit: 123RF.com
5 Aug, 2021

Le Travenues Technology, which operates travel and booking service ixigo has acquired bus ticketing and aggregation platform AbhiBus. 

The transaction, which involves a mix of cash and ixigo stock, is expected to help the market-bound company consolidate its presence in smaller towns and cities.  

As part of the deal, Hyderabad based AbhiBus’ team, led by founder Sudhakar Reddy Chirra, has joined ixigo, according to a statement.  

Founded in 2008, AbhiBus provides tech solutions to private bus partners and state transport corporations in India. It has also partnered state-run Indian Railway Catering and Tourism Corp (IRCTC) to offer bus tickets.  

This is ixigo's second acquisition this year. Earlier in February, ixigo acquired train discovery and booking entity Confirmtkt in a cash and stock deal.  

Last week, ixigo raised Rs 270.3 crore (about $36.5 million) in a funding round led by Singapore sovereign wealth fund GIC, regulatory filings showed.  

According to The Economic Times, the Gurugram-based company raised a total of Rs 395 crore in a mix of primary and secondary transactions, with White Oak and Orios Venture Partners joining the round.   

Quoting unnamed sources, the report said the company will float its shares in the fourth quarter of the current calendar year and is looking at a valuation of $750-800 million. 

Earlier this week, ixigo strengthened its board by adding six new members as independent directors. In May, it appointed Ravi Shanker Gupta as its chief financial officer to accelerate its IPO process

Following food delivery unicorn Zomato’s strong debut on the stock markets last month, several consumer internet startups are lining up to tap the public market for growth.