MakeMyTrip Raises $3.1 Bn To Buy Back Stake From China’s Trip.com

Days after announcing plans to raise capital via a mix of convertible notes and a primary offering of shares, MakeMyTrip (MMT) has raised $3.1 Bn to repurchase a portion of its Class B shares from China’s Trip Group. 

Kamal Yadav, managing director of investment banking at Morgan Stanley, took to LinkedIn to share the information. MMT sold 18.4 Mn new ordinary shares at $90 apiece in the primary equity follow-on offering amounting to a total of $1.66 Bn. 

The other part of the round came via “5-year convertible senior notes offering, at 0% coupon and 35.0% conversion premium”, Yadav said. Morgan Stanley was the lead-left bookrunner and stabilisation agent for the deal. 

“On June 17, 2025, after the close, MakeMyTrip priced $3.1 Bn concurrent registered primary equity follow-on and 144A convertible bond (Post-Shoe). Primary equity follow-on offering of 18.4 Mn ordinary equity shares priced at $90 per share and 5-year convertible senior notes offering, at 0% coupon and 35.0% conversion premium, together represent APAC’s largest concurrent offering of equity follow-on and convertible notes since 2022,” his post read. 

In a SEC filing on June 18, MakeMyTrip said that it was planning to raise $1.4 bn through the convertible senior notes. In its official statement on June 17, the company announced plans to net $1.25 Bn via notes which were to be offered to qualified institutional buyers (QIBs) along with an additional $187.5 Mn if the “initial purchasers in the Convertible Notes Offering exercise their option to purchase additional Notes in full”.

On the equity round front, MakeMyTrip was initially expected to issue 14 Mn primary shares as part of the raise. However, in a subsequent filing, the company announced its plans to increase this to 18.40 Mn shares at $90, a slight discount from the $91.49 closing price on June 17.

This is the largest capital infusion for any new-age tech company since Paytm’s $2.5 Bn IPO in 2021. The capital raised from the round will be used solely to buy back shares from MMT’s Chinese investor, Trip Group. As per the SEC filings, this will reduce Trip’s ownership in MMT in “between 16.90% to 19.99%”. Earlier, Trip had a 45.95% stake in the company. 

It is pertinent to note that even after the transaction, Trip will still continue to be the largest minority shareholder in the Gurugram-based online travel aggregator. MMT and Trip had entered into a share repurchase agreement to sell a portion of the Class B ordinary shares held by Trip on June 16. 

MMT hasn’t made an official disclosure regarding the closure of the deal. It declined to comment on the development.

At the heart of the massive transaction lies the question that the OTA major had been facing since its squabble with competitor company EaseMyTrip founder Nishant Pitti, who alleged MMT may expose the data of Indian soldiers who use the platform due to its Chinese ownership. These allegations, although labelled as malicious and motivated by MMT, came amid the military tensions between India and Pakistan last month. 

Another point of contention in the public feud between the OTA majors was MMT’s board of directors. The Nasdaq-listed company’s board currently consists of founder and chairman Deep Kalra, cofounder and CEO Rajesh Magow, Moshe Rafiah, along with four Chinese directors. The status of MMT’s board post the deal is yet to be discerned.