EaseMyTrip announces 'EMT Invest' initiative in India: What is it?
What's the story
Leading online travel platform, EaseMyTrip, has launched a new initiative called 'EMT Invest' in India.
The venture is aimed at partnering with successful, founder-led businesses that are ready to scale.
The company is looking for firms that have a pre-tax profit of at least ₹5 crore and strong unit economics.
EMT Invest will take a minority stake in these companies while allowing the founders to retain their leadership role.
Partnership requirements
Companies need to submit these documents
The companies that EMT Invest is looking to partner with should be promoter-led, have full operational control, and a clear requirement for growth capital in the next three to five years.
The firm has invited interested businesses to submit their last two years of audited financials, their cash flow statement, cap table and a detailed three-five year business plan as part of the initial engagement process.
Investment strategy
Investment model and terms
The typical investment model of EMT Invest involves taking a strategic minority stake of up to 49%, while ensuring that the promoters retain full control.
The company has said its goal is to create long-term value and prepare the partnered businesses for significant milestones like IPOs or secondary exits.
The structure and terms of the investment will be finalized in the second phase, based on mutual understanding and regulatory compliance.
Growth focus
EMT Invest will help businesses scale
Nishant Pitti, the Founder and Chairman of EaseMyTrip, had earlier said that the company's 'EMT Invest' initiative will focus on growth in India's next big businesses.
He had also said that they are searching for founders who need working capital to grow and where the popular travel platform can take up to 49% equity.
The equity stake in such companies will be aimed at helping them scale using EaseMyTrip's customer base, brand trust, and digital infrastructure.