Mumbai-based omnichannelE travel tech startup, Goomo has raised $50 million in order to enter the OTA market in India. The funding was invested by Emerging India. It is a Mauritius-based fund manager firm and claims to have over $1.5 billion under management.
Emerging India, a Mauritius-based private equity fund, is primarily a growth-stage investor that invests across multiple asset classes, including, long-only equities, fixed income, credit strategies, private equity and fund of funds. In India, the investment fund has, till date, largely focused on capital markets.
On the investment, A spokesperson from Emerging India said:
The travel industry in India offers immense opportunities for growth and consolidation. Over the last 12 months we have built a great team with a strong foundation. We are excited about the growth prospects of the business and expect the team to create a great India focused travel distribution business in the next 2 – 3 years
Goomo was established in 2015 and the platform was launched in March 2017. The prime motive of the platform was to focus on the fast-growing b2c travel segment. The platform provides services such as Flights, Holidays and Trade Fairs. The company is planning to increase their services domain by expanding in the segment of Hotels, Trains, Buses and Visas on-line.The
The platform acquired Orbit Corporate and Leisure Tours Pvt. Ltd. Orbit Corporate has been in business for 27 years and is a market leader in the holidays, trade fairs and MICE business in India.
Commenting on the development, Varun Gupta, CEO Goomo, said:
Over the last 12 months, we have successfully integrated Orbit, built a great team with strong industry experience and a robust technology platform. It is early days, but we are already getting great feedback from customers. Given the potential in the travel sector, we aim to establish ourselves as one top 3 travel platforms in India in next 3-5 years.
Adding to the statement, he said:
Goomo is being built ground up to be an Omni-channel platform that will facilitate corporate and consumer travel booking across online and offline channels
As the part of the deal, Emerging India picks up a majority stake in the company. This deal is also one of the largest raised by a startup operating in the online travel space. The company is in competition with other ventures in the same segment such as Yatra, MakeMyTrip, Goibibo, etc.
The funds raised are expected to be used to build Goomo’s online platform and products. Along with that, the company will also focus on marketing and on establishing its off-line partner network.