Travel tech platform Ixigo is gearing up to take a 51% stake in Zoop Web Services Private Limited, a company specializing in e-catering for the railway sector. The decision was approved by Ixigo’s board during a meeting on October 24, 2024. The deal is valued at Rs 12.54 crore, including a non-compete fee.
This acquisition, which is pending the completion of certain conditions laid out in the agreements, will be executed through a mix of primary and secondary share purchases.
Zoop, operating across 18 states and offering services at 192 railway stations, has built a strong reputation in the railway ecosystem by providing meal booking, PNR status checks, and other railway-related services. By acquiring Zoop, Ixigo aims to expand its train-related services, an area that contributed 53% of its revenue in Q2 FY25.
As part of the agreement, Ixigo also holds the option to buy the remaining 49% of Zoop in the future. This marks Ixigo’s third significant acquisition after its purchase of Confirmtkt in February 2021 and AbhiBus in August of the same year.
Despite growing its operational revenue by 26% to Rs 206.47 crore in Q2 FY25 compared to FY24, Ixigo’s profit after tax (PAT) dropped significantly, falling by 51% to Rs 13.08 crore from Rs 26.70 crore in the same quarter of the previous year.
This latest acquisition reflects Ixigo’s continued strategy to strengthen its offerings in the train and travel space, leveraging Zoop’s services to enhance user experience.
4o