Indian logistics software maker IBS Software Services may be best-known for its work in cargo and commercial aviation logistics.
But since eight months ago, when private equity firm Blackstone Group paid $170 million for a minority stake in the company, IBS has revealed its ambitions to more broadly serve airline and hospitality companies.
The Kerala-based company says it will go live next year with iTravel, a unified selling and production technology platform that is envisioned to be the de-facto-reservation platform for the industry. It comes in four flavors to match the needs of airlines, tour operators, cruise lines, and hospitality companies.
The white-labeled, direct-selling platform is built to offer up-sell and ancillary sales, and handle merchandizing, inventory management, and pricing, the company said. The iTravel platform aspires to enable clients to digitally source products and services from travel partners, package them, and offer them to travelers, with the option to skip global distribution systems and other intermediaries.
IBS says it has signed up $40 million of business for iTravel prior to its official launch today. The company said at a press event that the total addressable market worldwide is $4 billion.
As of today, about half of IBS's business is in its iFly Res airline reservation system suite of products. Earlier this year, IBS signed up SunExpress for its iFlyRes passenger service system (PSS), which it says is the first PSS to natively support IATA’s NDC.
Earlier this year Lufthansa signed up for iFly Crew, IBS's crew management solution, swapping out its legacy Unisys-based Crew Management software.
Cargo operations software is another big chunk of the company's portfolio. But IBS wants to diversify its business lines.
Earlier this summer, Hotel Booking Solutions, an IBS subsidiary via an acquisition, teamed up with payments specialist WEX to integrate virtual payments technology into its leisure network of hotels and travel retailers.
Since its investment, Blackstone has added executives, helped guide the company's five-year plan, and evaluated the business's enterprise resource planning and management information systems.
One insider speculated that Blackstone and other investors hope to see the company either sold or guided to an initial public offering in a few years' time at a valuation of more than $500 million. IBS employs 3,000 people in 10 offices worldwide.
Earlier analysis: Blackstone back in travel tech with $170 million IBS Software deal and IBS launches NDC-compliant PSS, signs SunExpress
