US company Concur has acquired a minority stake in travel portal Cleartrip for $40 million (Rs 175 crore). The two companies also announced a marketing alliance here on Monday.
Concur specialises in web-based travel and expense management solutions. Cleartrip’s corporate product is to be integrated with Concur’s cost management tools.
“We are raising fresh equity. Concur’s chief executive officer, Steve Singh, will be joining our board. We will work together with Concur to expand our corporate product,’’ said Cleartrip chairman Sandeep Murthy.
He refused to divulge the company’s equity base and the stake acquired by Concur. “We have grown 100 per cent year-on-year and the partnership with Concur will help to supplement the growth,’’ Murthy said, adding the company will be upgrading mobile applications and expanding international operations. Last year, Cleartrip launched operations in Dubai.
Singh explained that Concur’s applications allow companies to manage employee travel better and help reduce costs. “On an average, companies spend seven per cent of costs on travel and leisure,’’ he added.
The application enables a subscriber (a company employee) to make reservations and receive hotels or car rental bills in his account and send these directly to the finance department, saving time in preparing travel expense reports. Similarly, it allows companies to monitor travel expenses.
