Ebix Software India, a software arm of on-demand software and ecommerce services provider — Ebix Inc — has acquired 80% stake in Delhi-based on-demand SaaS technology solution provider for travel, Zillious Solutions Private Ltd. While the deal size was undisclosed, the acquisition would be immediately accretive, Ebix said.
Founded by Harsh Azad and Rohit Gaddi, Zillious offers an end-to-end technology solutions for travel management companies (TMCs), and online travel agencies (OTAs). It processes over 8 Mn travel bookings annually, with a gross merchandise value (GMV) of approximately $1.4 Bn per annum, claims Ebix.
Both the promoter founders of Zillious, along with all their team will continue to be a part of the venture.
“Our decision to offload a majority stake to Ebix was based on our long term vision to have a global footprint by expanding to US, UK, Asia, Australia and New Zealand. With Ebix’s global reach, we will be able to fulfil this vision faster and seamlessly. ET reported, citing Zillious cofounder Harsh Azad.
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According to a Ebix Inc statement, Zillious will remain a non-aligned technology platform and will be promoted internationally in key markets like the Middle East, US and Asia, besides further establishing it as a pure-play on-demand travel technology exchange within India.
“We have been in the business of setting up technology airports to power transactions, without taking any sides for decades now. Thus, this acquisition was a natural one for us as it allowed us to do the same in India’s fast-growing travel industry,” Ebix CEO Robin Raina said in the press release.
The acquisition of Zillious is the ninth acquisition of Ebix in India. In the travel sector, the company previously acquired Mumbai-based Mercury Travels and Delhi-based Leisure Corp for nearly $14.2 Mn.
India is one of the emerging markets where travel is absorbing technology at a rapid pace to enhance the consumer experience. The industry is set to hit the $45 Bn mark by 2020, growing at a CAGR of 11%-11.5%, according to a Google-BCG report.
Last year, the online travel sector of India saw a significant number of merger and acquisition deals — seven to be precise. At the same time, funding to the startups catering to the sector reached $1.19 Bn across 23 deals, up from $796 Mn in 2017, according to Inc42 DataLabs.