NEW DELHI: Travel portal firm Yatra on Saturday announced that it has provided notice of termination of its pending merger agreement with US-based Ebix Inc and filed litigation in the Court of Chancery of the State of Delaware over Ebix’s breaching of the Merger Agreement.
“The complaint seeks to hold Ebix accountable for breaches of its representations, warranties and covenants in the Merger Agreement and an ancillary extension agreement and seeks substantial damages. As detailed in the complaint, Ebix’s conduct breached material terms of the agreements and frustrated Yatra’s ability to close the transaction and obtain the benefit of Yatra’s bargain for Yatra’s stockholders,”
Yatra said in a statement. Ebix, the supplier of on-demand software and e-commerce services, had in July 2019 announced acquiring Yatra for an enterprise value of $337.8 million in an all stock deal.
The two companies had entered into a definitive agreement under which Ebix will acquire Yatra via merger. The transaction would have created India’s largest and most profitable travel services company. At present, Yatra competes with the likes of MakeMyTrip, Ixigo, ClearTrip, Easy- MyTrip and others.