Deals

Naspers to Merge India Travel Business With Rival MakeMyTrip

  • MakeMyTrip to buy Ibibo in return for new shares; stock gains
  • Naspers, Tencent to be co-largest shareholders in new group
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Naspers Ltd. agreed to combine Indian travel operation Ibibo with U.S. competitor MakeMyTrip Ltd. to help boost its unprofitable e-commerce business and ease a reliance on its investment in Chinese internet giant, Tencent Holdings Ltd.

Naspers, through a holding company minority owned by Tencent, will sell Ibibo to MakeMyTrip in exchange for new shares, the Cape Town-based company said in a statementBloomberg Terminal on Tuesday. Naspers and Tencent will together be the largest shareholders in MakeMyTrip, owning 40 percent.