Fair trade regulator CCI has approved MakeMyTrip’s proposed acquisition of rival Ibibo group in an equity deal that would create one of the country’s largest online travel firm.
As per the deal, South Africa’s Naspers and China’s Tencent Holdings would sell Ibibo Group to MakeMyTrip in exchange for an issuance of new shares by the latter. Post completion of the transaction, MakeMyTrip would own 100 percent of Ibibo Group, and Naspers and Tencent will become largest shareholder in MakeMyTrip, owning a 40 percent stake.
MakeMyTrip Founder Deep Kalra will remain Group CEO and Executive Chairman of the company and Co-founder Rajesh Magow will continue to remain CEO India of MakeMyTrip. Ashish Kashyap, Founder and CEO of Ibibo Group, will join MakeMyTrip’s executive team as a Co-founder and President of the organisation.