Bangalore-based online bus ticket booking service provider Travelyaari, part of Mantis Technologies, plans to raise $10 million (about Rs 55 crore) from venture capital (VC) funds. It is already in talks with leading VC funds that specialise in the e-commerce segment.
The company plans to use the funds to increase its presence in the eastern parts of the country. “We started operations in Ahmedabad in Gujarat and have significant presence in the northern and western markets. As part of our growth strategy, we plan to expand our business in the eastern parts of the country,” said Aurvind Lama, co-founder and director, Travelyaari.
Mantis Technologies had started operations in 2007, launching the Travelyaari website in 2008.
According to Venture Intelligence, so far, the online travel segment in India has recorded about 27 VC deals, worth $249 million.
“We are a product company, and many bus operators are using our platform for running their operations. With our new strategy, we expect to be the number one online bus booking player within six months.
According to various analyses by us, this market is worth about Rs 20,000 crore and the major portion of it is unorganised,” says Lama.
RedBus is the only specialist company in the bus ticketing segment and so far, it has raised $9.7 million through four rounds of funding from firms such as Helion Ventures, Inventus Capital and Seedfund.
Travelyaari, which expects to record revenue of about Rs 150 crore by the end of the year, has a base of 50,000 unique visitors a day. Apart from providing facilities to book bus tickets online, the company also provides platforms for bus operators. It has tied up with two state governments---those of Punjab and Himachal Pradesh---to provide platforms for online ticket reservation. Travelyaari has also started selling tickets for Punjab Transport Corporation, Himachal Pradesh Tourism Department and the Bihar and Uttar Pradesh state transport organisations.