Shares of Easy Trip Planners, the operator of the online travel portal EaseMyTrip, witnessed a significant surge of more than 14 per cent on January 11, extending the positive momentum amid the ongoing Maldives controversy.
The travel aggregator has demonstrated remarkable performance in the past five sessions, rallying 23 per cent and outperforming the benchmark Nifty 50, which experienced a marginal decline during the same period.
The boost in share prices comes as a prominent Maldivian tourism body urged EaseMyTrip to resume flight bookings to the island nation via its platform.
Despite the recent suspension of all flight bookings to the Maldives by the Delhi-based travel aggregator, it continues to offer enticing discounts for domestic travel within India.
The suspension was a response to disparaging remarks made by now-suspended Maldivian ministers against India and Prime Minister Narendra Modi following his visit to Lakshadweep.
In response to the ongoing row, EaseMyTrip announced discount codes "NATIONFIRST" and "BHARATFIRST" on January 10, encouraging customers to avail better discounts. CEO and co-founder Nishant Pitti shared the announcement on the X platform, formerly known as Twitter.
The call from the Maldives Association of Tour and Travel Operators (MATATO) to EaseMyTrip emphasized the importance of Indian tourists, who have been crucial for the Maldivian economy, especially post-COVID.
The statement, addressed to Pitti, expressed gratitude for the enduring friendship and partnership between the Maldives and India, stressing that the bonds between the nations transcend politics.
As of 12:26 pm, Easy Trip Planners was trading 13.9 per cent higher than the previous close at Rs 50.40.
The stock's remarkable rally in the last five sessions showcases its resilience, outperforming the Nifty 50 despite its marginal decline during the same period.
Over the past six months, the counter has seen a 15 per cent rise compared to the Nifty's 11 per cent increase.
In addition to navigating the Maldives controversy, EaseMyTrip has made strategic moves to diversify its service portfolio.
Recently, the company launched a subsidiary named EaseMyTrip Insurance Broker Private Limited. This strategic expansion aims to tap into the insurance market by providing specialized products to meet customer needs.
The move is expected to solidify EaseMyTrip's position in the industry and capitalize on a market valued at Rs 7.9 lakh crore, leveraging its existing user base of 20 million.
With the incorporation of EaseMyTrip Insurance Broker as a distinct entity under the brand umbrella, the company seeks not only to enhance its service offerings but also to create new avenues for business operations and revenue generation.
Nishant Pitti, the promoter of ETPL, takes on the role of Director in this new subsidiary, marking a significant step in the company's strategic expansion and diversification efforts.
