By Sam Boughedda
Investing.com — MakeMyTrip Limited (NASDAQ:MMYT) stock spiked over 11% Monday after its subsidiary, MayMyTrip India, announced a long-term partnership with Amazon Pay (NASDAQ:AMZN) to offer travel services on Amazon.in.
Amazon Pay is Amazon's online payments processing service which was launched in 2007. It uses the consumer base of Amazon.com and gives users the choice of paying with their Amazon accounts on external merchant websites. The travel services offered by MakeMyTrip will be available on Amazon's suite of mobile apps and websites.
MMYT said the partnership "will help Amazon Pay create a convenient experience and provide greater value for its customers with access to MakeMyTrip's best in class travel offerings." In addition, the Indian online travel company MMYT will be able to utilize Amazon Pay's extensive customer base.
Rajesh Magow, co-founder and group CEO of MakeMyTrip, said: "We are excited to partner with Amazon, the company that has revolutionized online purchase behaviour of people world over. There is an accelerated digital shift happening as a result of the pandemic and through this partnership, we look forward to making travel bookings extremely convenient for new adopters, thereby increasing the online penetration of travel bookings."
MakeMyTrip's stock price is currently up over 6.3% at $33.68 per share. Last week Citi raised the price target of MakeMyTrip shares to $42 from $38, maintaining a buy rating in response to the company's second quarter results, which it said were well ahead of expectations.