Paytm Partners FlixBus To Expand Its Intercity Bus Travel Services

SUMMARY

The partnership will allow users to book FlixBus tickets directly from the Paytm app

Travel remains a core business for Paytm and the partnership with FlixBus will allow it to expand its travel offerings, the fintech major said

Last month, Paytm said it witnessed significant growth in its travel segment, with flight bookings on the platform surging 19% YoY in Q4 FY24

Listed fintech major Paytm has teamed up with online travel agency FlixBus to expand its intercity bus travel services offerings in India.

The partnership will allow users to book FlixBus tickets directly from the Paytm app.

“Travel remains a core business for Paytm, and this partnership with FlixBus aligns seamlessly with the company’s ambitions to enhance and diversify its travel offerings,” Paytm said in an exchange filing on Tuesday (July 16).

The collaboration will allow FlixBus to tap into Paytm’s huge customer base and technological expertise, enabling it to expand its distribution network, the filing added.

Founded in 2011, FlixBus offers low-cost intercity bus services in more than 40 countries in Europe, North America, South America and Asia. It launched its operations in India earlier this year.

The partnership with Paytm will allow FlixBus to offer high-quality bus services to a broader range of customers in India, Surya Kumar, managing director of FlixBus, said.

Kumar further said that promoting intercity travel is crucial to FlixBus’ mission to drive affordable and sustainable transportation solutions.

Meanwhile, Vikash Jalan, chief business officer of Paytm, said that the partnership with FlixBus aligns with the company’s core business objectives to accelerate growth in the travel sector.

The development comes a day after market regulator SEBI issued an administrative warning to Paytm’s parent One97 Communications over non compliances with respect to related party transactions conducted by the company with its subsidiary Paytm Payments Bank during FY22.

It was also reported earlier that Japanese tech investor SoftBank offloaded its remaining 1.4% stake in Paytm, exiting its investments in the fintech major at a loss of about $150 Mn.

Last month, Paytm said that it witnessed significant growth in its travel segment in the March quarter (Q4) of the financial year 2023-24 (FY24), with flight bookings surging 19% year-on-year (YoY), exceeding the industry average of around 3%.

Recently, Paytm also expanded the pool size of its employee stock option plan (ESOP) by allocating an additional 2.8 Lakh stock options.

Meanwhile, One97 Communications has unveiled a new health and protection plan for its merchant partners.

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