MakeMyTrip Expands into Ride Pooling with Quick Ride Acquisition
MakeMyTrip has made a significant move into the ride pooling market by acquiring a majority stake in Bengaluru’s shared mobility startup, Quick Ride. This acquisition expands MakeMyTrip’s ground transportation offerings and bolsters its position in daily urban commuting services. Reports from Startup Superb on October 19 indicated that MakeMyTrip was negotiating to acquire Quick Ride via its subsidiary redBus, although financial details of the deal have not been revealed.
About Quick Ride
Founded in 2015 by KNM Rao, Quick Ride operates as an asset-light mobility platform designed to connect individuals travelling along similar routes through car and bike pooling. This platform facilitates ride-sharing for daily commutes and offers tailored services for corporate employees through partnerships with various companies, IT parks, and business campuses. By doing so, Quick Ride aims to make commuting more cost-effective while also working to reduce vehicle congestion on the roads.
Business Restructuring Post-Acquisition
Following the acquisition, MakeMyTrip announced that Quick Ride’s ride pooling operations and brand will be restructured and placed under a new entity named Co Ride Mobility Private Limited. MakeMyTrip will hold a majority stake in this new entity, while the founding team of Quick Ride will continue to manage the business. Meanwhile, Quick Ride’s previous electric vehicle taxi operations will remain with its former parent company, iDisha Info Labs Private Limited.
Strategic Importance of the Acquisition
Rajesh Magow, Co-founder and Group CEO of MakeMyTrip, emphasised that this acquisition is instrumental in establishing the company’s footprint in high-frequency urban commutes, in addition to its current intercity travel services. He mentioned that Quick Ride will be integrated into MakeMyTrip’s ground transport division, leveraging the expertise gained from building redBus both in India and in international markets to enhance the platform.
Expanding Offerings with Quick Ride
Prakash Sangam, CEO of redBus and Head of Ground Transport at MakeMyTrip, noted that this acquisition broadens the company’s range of travel solutions. He expressed optimism about the potential to cater to the same customers for their everyday commuting needs and intercity travel.
Funding and Future Strategy
Quick Ride has attracted investments from prominent backers, including Sequoia Capital India (now Peak XV Partners), Naspers (now part of Prosus), and Venture Highway. In a Series B funding round in 2019, the company secured Rs 100.78 crore ($14.4 million) from its existing investors.
This acquisition aligns with MakeMyTrip’s strategy to extend its market presence across various travel sectors through strategic investments and acquisitions. In recent years, the company has also acquired Savaari in the car rental industry, Happay for corporate travel and expense management, and Flamingo Transworld for regional group holiday packages. Additionally, MakeMyTrip has made a strategic minority investment in Atlys, a visa processing platform.
Enhancing Ground Transportation Portfolio
By incorporating Quick Ride into its growing portfolio, which already includes redBus and Savaari, MakeMyTrip reinforces its commitment to offering a diverse array of travel options, addressing both daily commutes and intercity journeys.