Private equity investors log on to travel portals

Travel portals are increasingly catching the fancy of private equity (PE) players what with investments in this fast emerging business segment registering a 100 per cent jump.

Industry analysts point out that PE investments in travel portals touched Rs 180 crore in 2006 against Rs 90 crore in 2005. Meanwhile, individual investments have also doubled to Rs 300 crore from Rs 150 crore in the past one year.

“But that is not all. In the next two years, the online travel portals will invite a PE investment of Rs 200 crore. Today, the online travel market is pegged at Rs 4,000 crore and by 2008, it is estimated to be a Rs 10,000 crore market,” they said.

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