Even before it started its operations, ezeego1.com, a travel portal, has acquired a majority stake in Forever Travel Distribution Pvt Ltd. The latter owns the eToursonline brand, a business-to-business travel distribution platform.
The financial details of the deal were not disclosed.
Recently, investment bankers valued the portal at Rs 150 crore (Rs 1.50 billion). Operations are expected to begin in two months.
Cox & Kings is one of the promoters of ezeego1.com. The portal is also promoted by the brother-sister duo of Peter Kerkar and Urrshila Kerkar.
Speaking on the acquisition, Neelu Singh, chief operating officer, ezeego1.com, said, "This is strategic to our business interests as eTours has established its credentials in the market as a distribution partner and has signed 600 travel agents in major Indian cities. Its large inventory of hotels in the domestic market enables us to provide comprehensive geographical coverage in the hotel landscape."
Singh added that in two years the promoters of ezeego1.com would be investing Rs 200 crore (Rs 2 billion). The projected turnover for the first year is Rs 350-400 crore (Rs 3.5-4.0 billion) and Rs 1,200-1,500 crore (Rs 12-15 billion) in three years.
She added that further acquisitions in the near future could not be ruled out.
The travel portal has interfaced its system with InterContinental Hotels worldwide and is in the process of closing deals with Hilton International and Carlson Hotels. In India, ezeego1.com is expected to tie up with the Oberoi group.
To share distribution systems, ezeego1.com is in talks with other travel portals and travel agents.
