Published By : 31 Jan 2018 | Published By : QYRESEARCH
In a recent development, American Express – the multinational financial institution has acquired a travel app developed by India-born twins. Mezi – the artificial intelligence powered app has been acquired in an all-cash transaction pegged at US$125-150 million, as per industry sources. Developed by Pune-born twins, the deal value of Mezi is one of the leading in the local startup space.
Mezi employs both artificial intelligence and human expertise to customize online travel booking experience. Founded in 2015, Mezi – the California based company began to offer personal concierge service before it centered business on the travel vertical. This was to take business advantage of the travel service growing at 300% on a month-on-month basis, much higher than other services that were growing at 70% on a month-on-month basis.
Mezi app, which has registered more than 100,000 unique visitors so far enjoys engagement rate of almost 85%.
Mezi’s Sale Brings Bumper Returns for Early Investors
Mezi has raised almost US$11.8 million in funding, which includes investors Nexus Venture Partners, Saama Capital, and American Express Ventures. The deal has translated into massive returns for early investors Saama and Nexus, as per sources. This is the second of the two major sale for the Pune-born twins, the first one being selling of a music streaming company Dhingana.
With messaging becoming the sought after communication channel, along with ever-increasing demand for unique experiences, this acquisition is set to open a dawn in the travel space. The combination of Mezi’s capabilities coupled with American Express’s expertise in travel counselling will provide a differentiated and par excellence service experience for American Express card holders.
Following the acquisition, Mezi will function as a wholly owned American Express subsidiary.