MakeMyTrip has announced the institution of a $15 million innovation fund to support early stage companies in the travel space. The fund will focus on start-ups in travel technology with a special focus on mobile and IP based companies.
Speaking on this initiative, Deep Kalra, Founder & Group CEO, MakeMyTrip.com said, “We’ve agreed to create a fund of $15 million, which is 10 per cent of cash on our balance sheet, to be focused on young and new ventures in the travel technology space for our market. This is an additional prong of our inorganic growth strategy by pursuing M&A opportunities in the travel technology space. We intend to purposefully go out and look for such companies and take early stage positions.”
The Board of MakeMyTrip has approved the formation of an Investment Committee to deploy the fundsas per its discretion in various startups and mid-size companies in travel and tourism sector, or technology/ mobile companies powering this sector. The committee comprises of six directors, including Founder Deep Kalra and Co-Founders Rajesh Magow and Keyur Joshi.
Launched in India in September 2005, MakeMyTrip claims to have achieved sales exceeding Rs 7,600 crore in the financial year ending March 2014.