MakeMyTrip has signed a business transfer agreement with fintech unicorn CRED to acquire expense management platform Happay
The online travel aggregator said that the acquisition will help it become the go-to platform for comprehensive corporate travel and expense management solutions
Happay was founded in 2012 by Anshul Rai and Varun Rathi, and was acquired by CRED in December 2021
Online travel aggregator MakeMyTrip is acquiring fintech unicorn CRED’s expense management platform Happay.
In a statement, MakeMyTrip said it has signed a business transfer agreement to buy Happay from the Kunal Shah-led company with an aim to become the go-to platform for comprehensive corporate travel and expense management solutions.
However, it didn’t disclose the financial details of the deal.
“The acquisition of Happay’s brand and expense management platform is a natural next step in our strategy to lead this space. By integrating Happay’s expertise, which spans over 900 corporate clients, MakeMyTrip is set to redefine the benchmarks once again in corporate travel and expense management in India,” said Rajesh Magow, cofounder and group chief executive of MakeMyTrip.
The company currently serves 59,000 corporate clients via MyBiz, its platform for small and medium-sized corporates, and 450 large corporates via Quest2Travel. The acquisition will allow MakeMyTrip to provide expense management services to these clients.
The travel major said that the deal is expected to close within the next 90 days.
Happay’s expense management business and team will transition to MakeMyTrip following the acquisition. However, Happay’s payments business and team, which is focused on developing technology stack and business payments products, will stay back with CRED.
Commenting on the acquisition, CRED founder Kunal Shah said, “Our focus at CRED is on developing products that enable financial progress… I’m excited about the payments team’s opportunity to transform the B2B payments experience into one that’s frictionless, reliable and one that’s set for rapid growth.”
Happay, founded in 2012 by Anshul Rai and Varun Rathi, provides an enterprise-ready suite for travel, expense and payment solutions. It was acquired by CRED in December 2021. The cash and stock deal valued Happay at $180 Mn.
Last year, Inc42 reported about Happay trimming its workforce by 35% in a restructuring exercise.
The development comes at a time when CRED is expanding its super app play by launching new offerings.
Meanwhile, MakeMyTrip posted a 797% jump in its net profit jump to $17.9 Mn in Q2 FY25 from $2 Mn in the year-ago quarter. Revenue jumped 25.1% to $211 Mn in the quarter ended September 2024 from $168.7 Mn in the year-ago period.
Earlier this year, MakeMyTrip also acquired a majority stake in intercity cab service provider Savaari Car Rentals to expand its offerings.
