The Alibaba-supported Paytm, which has been expanding its business of online travel for the past 1 Year, is in active talks to purchase Via.com. The discussions of Paytm to purchase the online travel booking website is being discussed at an estimation of almost $50 Million to $75 Million, people aware of the topic claimed to the media.
After having lifted new fund, Paytm has been sharing out cash backs to block market share from competitors such as MakeMyTrip and GoIbibo as well as Yatra.com in the space of online travel. It has been branching out into new commerce by picking up and acquiring stakes in companies such as events booking and ticketing to boost its incomes and go further than being only a mobile wallet platform.
The interest of Paytm in Via.com comes at a time when it has been capable of getting a grip in the extremely spirited business of online travel. The firm is also making an attempt to increase up its business of hotel bookings, which provided better margins as compared to travel where it is combating not only with websites for online travel but specialized companies such as Treebo Hotels, OYO, and FabHotels.
People close to the topic claimed to the media that Paytm has conducted discussions with Cleartrip too but those discussions fell through. “Paytm has been discussing with various players but the talks with Via.com are in the later stage. Unlike others, Via has a sturdy business that comes from offline consumers, particularly in non-metro towns that Paytm is eager to tap,” claimed a source aware of the growth.
An email sent to Vijay Shekhar Sharma, the founder of Paytm, by the media did not draw out a response, while Paroma Chatterjee, the CBO of Via.com, refused to comment on the gossips.
Via.com, which had lifted capital from Kalaari Capital (Indo-US Venture at that time) and Sequoia Capital, has hugely stayed away from taking part in a discounting battle with recognized peers. The Bengaluru-located firm has aimed on its agents-headed business in non-metro regions, which is its main source of income. For Paytm although, this might not be the first time it has displayed an interest in inorganic growth for its business in travel.