Happay, a leading provider of corporate expense management solutions, specializes in managing employee travel and tax benefits for businesses. The company offers tailored solutions for large enterprises with multiple branches, as well as surface logistics companies.
Under a new agreement, Happay’s brand, expense management services, and dedicated team will transition to MakeMyTrip. The deal is expected to be finalized within the next 90 days, pending the fulfillment of closing conditions. As part of the transition, Happay’s team will continue to support its current clients, collaborating closely with MakeMyTrip’s corporate travel services division.
“The acquisition of Happay’s brand and expense management platform is a natural next step in our strategy to lead this space. By integrating Happay’s expertise, which spans over 900 corporate clients, MakeMyTrip is poised to redefine the standards of corporate travel and expense management in India,” said Rajesh Magow, co-founder and Group CEO of MakeMyTrip.
Meanwhile, Happay’s payments business, which has been focused on building an innovative technology stack and developing business payment solutions, will remain with CRED. Most recently, this vertical launched B2B payment solutions in partnership with NPCI on the Bharat Connect platform.
“Our goal at CRED is to develop products that foster financial growth. By allowing each team to focus on its core strengths, we’re positioning both sides to scale quickly and effectively. I’m excited about the payments team’s opportunity to revolutionize B2B payments, making them more frictionless, reliable, and primed for rapid expansion,” said Kunal Shah, founder of CRED.
MakeMyTrip serves over 59,000 corporate clients through MyBiz, a platform designed for small and medium-sized enterprises, and more than 450 large corporates via Quest2Travel, a platform tailored for large enterprises.
Listed on Nasdaq, MakeMyTrip reported a revenue of $211 million for Q2 of the current fiscal year, marking a 24.3% increase compared to the same quarter last year. For the quarter ending September 30, 2024, the company posted a profit of $17.9 million, up significantly from $2 million in Q2 of FY 2024.
While the exact value of the deal has not been disclosed, the decision for CRED to retain its payments business suggests a strategic move. It’s likely that CRED will record a write-off from this transaction, though the full financial impact is still to be determined. With CRED’s rapid pace of growth and evolving strategy, such adjustments may be expected as part of its ongoing business refinement.