India’s Ixigo Raises $146M to Fuel OTA Growth and AI Initiatives

India-based OTA Ixigo has raised $146 million from Netherlands-based technology investor Prosus, which acquired a 10.1 percent stake in Ixigo through its venture capital fund MIH Investments One.

This funding marks a major milestone in Ixigo’s growth journey since its listing on the National Stock Exchange of India (NSE) and Bombay Stock Exchange (BSE) in June 2024.

Ixigo plans to focus on several strategic priorities.

• Up to 25 percent of the proceeds (approximately $36.5 million) will be invested in organic growth initiatives, including new AI platforms, cloud infrastructure, product development, and marketing.
• Another 25 percent is earmarked for inorganic growth via acquisitions, mergers, joint ventures, and investments to strengthen Ixigo’s competitive position.
• The remaining 50 percent will support working capital needs linked to the expansion of Ixigo’s OTA business, as well as general corporate expenses.

The partnership with Prosus, a global investor with a strong presence in India, including holdings in companies like Flipkart and Swiggy, is also expected to boost Ixigo’s market reach and technology capabilities.

Recently, the hospitality group Pride Hotels initiated the IPO process, and similar to Ixigo, it also plans to list on the BSE and the NSE.

Photo by Karthik M. on Unsplash