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Prosus to Buy 10% Stake in Indian Online Travel agent Ixigo for $146M

Oct 10 (Reuters) - Dutch technology investor Prosus will buy a 10.1% stake in India's Ixigo for 12.96 billion rupees ($146 million), the online travel booking platform said on Friday.

Ixigo, formally known as Le Travenues Technology, will issue shares to Prosus on a preferential basis at 280 rupees per share - a 10.5% discount to Ixigo's closing price on Thursday.

Ixigo's stock opened slightly lower at 310 rupees in early trade before reversing course to trade 1% higher.

The company said it will use 25% of the proceeds, or up to 3.24 billion rupees, towards growth initiatives such as developing new artificial intelligence platforms and expanding its hotels business.

It will also use the investment to fund its advertisement and branding initiatives, and acquisitions.

India is home to some of Prosus' biggest ventures in its $6.5 billion portfolio, which includes food and grocery delivery platform Swiggy and fintech firm PayU.

($1 = 88.7950 Indian rupees)

Reporting by Kashish Tandon in Bengaluru; Editing by Sonia Cheema and Janane Venkatraman

Source: Reuters


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