Prosus picks up 10% stake in Ixigo parent for ₹1,295 crore
Travel technology platform Ixigo’s sold 10 percent of the company’s shares to Dutch investor Prosus. ₹1,295 crore, it plans to use it primarily to invest in artificial intelligence, expand its hotel business and for acquisitions.
The company had previously announced plans to sell up to 16% stake.
Ixigo’s parent company, Le Travenues Technology, will issue 46.2 million shares ₹280 per share including bonus ₹279 to MIH Investments One BV, a venture capital fund managed by Prosus Ventures.
Following the allocation, Prosus will have the right to appoint a director to the company’s board of directors, provided that its shareholding remains at 10% or above.
Ixigo management said the issuance of new shares as part of the Prosus investment would reduce short-term returns but viewed the capital as critical for long-term growth. “The plan is to invest in AI at inflection point, accelerate growth, increase customer lifetime value and deepen operating leverage,” Ixigo said in a stock exchange filing.
For Prosus, the deal expands its reach into India’s consumer internet sector, where it supports Flipkart, Swiggy, Meesho and Urban Company. In the travel space, Prosus had previously invested in Goibibo, which was acquired by MakeMyTrip.
Ixigo’s four core areas
Ixigo said it is considering increasing investments in artificial intelligence (AI) and strengthening its position in the online hotels segment. The company, which went public in 2024, pointed to opportunities in interactive and personalized travel booking systems, highlighting artificial intelligence as a key differentiator.
According to Ixigo’s exchange filing, the company will split the shares ₹1,295 crore funds were collected equally across four areas from Prosus.
About ₹323.9 crore has been earmarked for organic growth, including new AI platforms, technology upgrades, hotel business expansion and advertising.
A further 25% will be set aside for acquisitions, joint ventures or strategic investments, with the option to redirect unspent funds back to organic initiatives.
another ₹323.9 crore will be injected into working capital to support the company’s expanding operations across flights, trains, buses and hotels. The remaining 25% will cover general corporate purposes such as leasing, personnel costs, contingencies and administrative expenses.
