A view of Maldives along with the EaseMyTrip logo.
Credit: iStock Photo and EaseMyTrip.com
There are currently no plans to resume bookings to Maldives, EaseMyTrip co-founder Prashant Pitti told DH days after the company paused flight bookings to the island nation over a diplomatic row that has spilled over from social media to harm bilateral ties between the two countries.
This comes despite the Maldives Association of Travel Agents and Tour Operators on Tuesday, requesting the travel agency to resume flight bookings to the country, as the loss of Indian visitors would drastically affect the livelihood of a big chunk of population that depend on tourism. However, Pitti said that they have now established a status quo which they would like to maintain for the foreseeable future.
Insurance plans
The move to boycott Maldives came around the same time as the travel aggregator announced its foray into the insurance brokerage market. EaseMyTrip’s insurance subsidiary is expected to go live in the next 6 months, Pitti said, adding that it aims to break even within a year of launching. The company is placing its faith in its 20 million strong consumer base to find takers for its insurtech arm.
“There is an overlap for our customer base of over 75% as those who book travel online also buy insurance online. We are looking to primarily grow this vertical by doing cross promotion rather than focusing on new customer acquisition,” the co-founder said.
New fund deployment
The company also announced plans this week to raise Rs 1,000 crore through a combination of preferential issue of equity shares along with warrants, which will be its first raise since starting operations in 2008. Pitti said the company will use the funds to run the diversification, increase its marketing spend and acquire new businesses across verticals like hotels, cabs, buses and other tourism segments.
The company recently acquired a 13% non-controlling stake in Eco Hotels and Resorts Limited. “We are looking at tech-enabled online companies that could be catering to businesses and consumers or could be service providers. The company should be as disruptive as us, should be asset light and profitable” Pitti said.
Shares of Easy Trip Planners, the parent company of EaseMyTrip, have been zooming upward all week since it announced the suspension of flight bookings to Maldives. The stock jumped 11% on Thursday alone, and has climbed 23% in the last five sessions.