Shares of traveltech major EaseMyTrip jumped as much as 19% to INR 52.76 during the intraday trading on the BSE on Thursday (January 11).
The surge came after the startup’s announcement about the launch of its new subsidiary, EaseMyTrip Insurance Broker Private Limited, on Wednesday.
The company said in an exchange filing that the new venture is expected to solidify its position in the industry and enable it to cater to an INR 7.9 Lakh Cr market with its user base of 2 Cr.
The traveltech startup had received an in-principle approval from its board to foray into the general insurance space last year.
Speaking on the development, EaseMyTrip CEO and cofounder Nishant Pitti said that the new subsidiary, EaseMyTrip Insurance Broker Private Limited, is a major step forward for the company to diversify its services. The company aims to offer a holistic travel ecosystem to its existing and new customers.
EaseMyTrip, whose shares slumped significantly last year despite the bull run in other new-age tech stocks, has started witnessing an uptrend since the end of 2023. Its shares have already gained over 33% in 2024 so far.
The shares ended today’s trading session at a 11-month high of INR 51.81, about 17% higher on the BSE.
Earlier this week, amid the ongoing diplomatic row between India and Maldives, EaseMyTrip announced suspension of all flight bookings to the island nation.
“In solidarity with our nation, EaseMyTrip has suspended all Maldives flight bookings,” CEO Pitti said in a post on X.
On its website, the company has also started flaunting a tagline, “Nation First, Business Later.”
EaseMyTrip reported a 66% year-on-year (YoY) jump in its consolidated net profit to INR 47 Cr in Q2 FY24 on an operating revenue of INR 142 Cr, which increased 31% YoY.
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