Ebix Exits Bankruptcy As Eraaya Acquires Firm, Robin Raina To Continue At Helm
The US-based entity had filed for bankruptcy in January.
Ebix Inc. has officially exited bankruptcy proceedings, following its acquisition by BSE-listed Eraaya LifeSpaces Ltd. The company is now debt-free worldwide and exited Chapter 11 proceedings within a "record 9 months", according to a statement.
"The company seems well positioned now to embark on its goal of delivering strong Ebitda and cash flows again," the statement said.
The US-based entity had filed for bankruptcy in January. It operates an Indian arm called EbixCash, which suffered two director resignations right after the filing.
"Eraaya’s investment into Ebix will not affect any of Ebix’s responsibilities adversely in any geography, as the company will continue to operate as usual," a statement read. Eraaya is in the business of owning and managing luxury properties, in sync with Ebix's portfolio.
EbixCash is also popular for its foreign exchange services in India, apart from offering luxury tours and foreign SIM cards among others. It operates two subsidiaries in its travel portfolio—Via and Mercury.
Founder Robin Raina will continue to serve as chief executive officer and chairman of Ebix Inc., and has also been named as the chairman of the Board for Eraaya.
Further, Ebix has already secured investments from US investors Watch Hill Capital and Melanie Lane Partner Series, it said. "The intent of Eraaya and Ebix is to continue to grow its international investor base."
