Online travel aggregator Cleartrip has agreed to acquire Flyin, Saudi Arabia’s largest online travel aggregator (OTA), to have a wider outreach, and larger client base, providing Cleartrip economies of scale and enhanced competencies in the Middle East and North Africa (MENA) region.
The deal was said to be worth $50 Mn (INR 340 Cr) by some media sources. However, the transaction details are yet to be disclosedofficially.
“With this acquisition, about 40% of our business comes from our international operations and it will likely grow further,” said Aditya Agarwal, head of M&A and strategy at Cleartrip. Following the acquisition, the combined entity will have a 60% market share in online travel booking segment across the GCC region, Crighton said.
The deal will be to the benefit of both Cleartrip and Flyin, as they can easily capitalise on the growing shift to online travel bookings in the MENA region. MENA is home to a large population of tech-savvy consumers and has the highest level of smartphone and Internet penetration in the world.
Agarwal added that Cleartrip’s focus on delivering an intuitive product and superlative customer experience has cemented its position as the preferred online platform for travellers across India and Middle East and the deal will further bolster their strategies in the MENA region.
This transaction marks an important step in Cleartrip’s endeavours to offer existing and new customers its user experience across the company’s Air, Accommodation, and Experiences categories.