&w=3840&q=100)
MakeMyTrip to raise $2.5 bn to slash Trip.com's stake and voting power
MakeMyTrip to repurchase Class-B shares from Trip.com, reducing its voting power and board rights amid calls to limit Chinese investment following India-Pakistan conflict
Rimjhim Singh New Delhi
Indian travel booking platform MakeMyTrip has announced plans to raise over $2.5 billion through the sale of ordinary shares and convertible bonds. The move, disclosed in regulatory filings with Nasdaq, is aimed at substantially cutting down the ownership and influence of China-based Trip.com Group in the company, news agency PTI reported.
The Gurugram-based, NASDAQ-listed company said the funds raised through both the equity and the concurrent convertible notes offering will be used to buy back a portion of its Class-B shares previously held by Trip.com.
'As of March 31, 2025, Trip.com beneficially owned 100 per cent of our issued and outstanding Class B Shares and 15.05 per cent of our aggregate ordinary shares and Class B shares, together representing an aggregate of 45.34 per cent of the total voting power in our company,' MakeMyTrip noted in its filings.
Following the share repurchase, Trip.com's voting power will drop significantly — from 45.34 per cent to 19.99 per cent. As a result, its board nomination rights will be reduced from five directors to two, in line with the Terms of Issue governing the share structure, PTI reported.
Broader geopolitical context
The timing of this corporate move comes amid increasing scrutiny over investments from countries like China and Turkey, especially in the wake of heightened tensions following last month's India-Pakistan military clash. Public sentiment and political voices have urged companies to distance themselves from investors seen as aligned with Pakistan.
Fuelling the debate, EaseMyTrip co-founder Nishant Pitti recently questioned MakeMyTrip's Chinese ties, alleging that five out of its ten board members are directly linked to China.
Details of the capital raise
MakeMyTrip revealed in its Nasdaq filing that it will issue 14 million ordinary shares, each with a par value of $0.0005. Additionally, the company announced a concurrent offering of $1.25 billion in aggregate principal amount of convertible senior notes, with an option for underwriters to purchase up to an additional $187.5 million, PTI reported.
'Concurrently with this offering, we are offering $1.25 billion aggregate principal amount of convertible senior notes, plus up to $187.5 million aggregate principal amount... if the initial purchasers... exercise in full their option,' the company said.
Terms of repurchase agreement
On Monday, MakeMyTrip entered into a share repurchase agreement with Trip.com. According to the agreement, the Chinese travel firm has agreed to sell a portion of its Class-B shares back to MakeMyTrip at the same price as the public offering, net of underwriting discounts and commissions.
Generally, Class-B shares carry the same rights and preferences as ordinary shares, except as otherwise detailed in the company's terms of issue.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Time of India
36 minutes ago
- Time of India
Donald Trump to extend TikTok deadline by 90 days
Donald Trump will extend the June 19 deadline for China-based ByteDance to sell the US operations of TikTok by another 90 days, the White House said on Tuesday, June 17. White House press secretary Karoline Leavitt confirmed the decision. She said 'President Trump will sign an additional executive order this week to keep TikTok up and running.' Adding further, she said 'President Trump does not want TikTok to go dark,' saying the next three months will be used to work on closing the sale and ensuring that American users' data is protected. With the new deadline, TikTok will get more time to complete the sale, which is required under US law unless significant progress has been made. Trump says China's approval may be needed for TikTok sale Speaking to reporters aboard Air Force One, Trump said he expected to approve the extension. When asked, he replied, 'Probably, yeah. Probably have to get China approval but I think we'll get it. I think President Xi will ultimately approve it.' In May, Trump had already indicated he would extend the deadline, partly because of the app's popularity with young voters during the 2024 election. What the US law says The law required ByteDance to sell TikTok's US assets or shut down the app by January 19, unless it showed major progress toward a sale. Trump, who began his second term on January 20, chose not to enforce the deadline and has since extended it twice—first to early April and then to June 19.] A deal was being discussed earlier this year to spin off TikTok's US business into a company controlled by American investors. However, the talks stalled after China pushed back following Trump's announcement of new tariffs on Chinese imports. In March, Trump said he was open to lowering tariffs on China if that helped move the TikTok sale forward. The app currently has about 170 million users in the US. Xbox Games Showcase 2025 Highlights: Biggest Game Reveals, New Consoles & More!
&w=3840&q=100)
Business Standard
37 minutes ago
- Business Standard
Outlook: Where to invest in an ageing bull market? Nuvama Equities decodes
Stock market outlook: As the pent-up demand-led stock market rally faces downside risks, analysts at Nuvama Institutional Equities share their investment guide for an ageing bull market Nikita Vashisht New Delhi Listen to This Article Stock market outlook: The bull run in India's stock market, which began after the Covid-19 -induced market crash, is ageing. In fact, rising headwinds, including high valuations and plateauing profit growth, are leaving little room for upside for Indian equities. According to analysts at Nuvama Institutional Equities, every bull or bear market, typically, expires in about five years. The post-pandemic rebound completed five years in March 2025, thus, officially crossing the five-year mark. The Indian stock market, however, lacks levers to extend this uptrend, they caution. Outlook: Rising risks for Indian stock markets A recent report by the brokerage noted
Hindustan Times
39 minutes ago
- Hindustan Times
Opinion trading: India's chance to lead the global prediction market revolution
Since 1991, India's economic liberalisation has repeatedly demonstrated a common pattern: Ground-breaking innovations emerge first, followed by regulatory frameworks. The stories of e-commerce, ride-hailing, and digital payments are testament to this pattern; eBay's early struggles with India's pre-digital trade laws, the initial resistance faced by Uber and Ola, and the years it took for UPI to find its regulatory footing—all highlight how disruptive ideas must navigate ambiguity before achieving legitimacy. Today, opinion trading, also called information/prediction market, platforms stand at a similar inflection point, where regulatory clarity will determine whether India leads or lags in what could become the next frontier of the digital economy. Homegrown platforms like Probo, MPL Opinio, and SportsBaazi are testament to the potential of this sector, aggregating the collective wisdom of over 50 million Indian users to create real-time sentiment markets that rival traditional forecasting methods. The parallels with other sectors are striking. Just as the IT Act had to evolve to accommodate emerging technologies – information markets now demand a regulatory framework that distinguishes skill-based prediction markets from gambling. The current ambiguity is not just stifling innovation but also pushing users toward unregulated offshore platforms, where there are no consumer protections, no safeguards against fraud, and no accountability. The irony is palpable—India's thriving information markets sector, which contributes significantly to GST revenues and employs thousands, is being held back by the same regulatory hesitation that once plagued other breakthrough industries. Globally, the race to dominate prediction markets is already heating up. In the US, platforms like Kalshi have gained regulatory approval to offer event contracts, while Robinhood's integration of crowd-sourced sentiment tools demonstrates how mainstream prediction markets are becoming. Perhaps the most telling development is the ground-breaking partnership between Polymarket and X (formerly Twitter), which embeds real-time prediction trading within social media—a glimpse into how Internet 3.0 will blur the lines between information, social interaction, and financial participation. This is not just about gaming; it's about who controls the infrastructure of collective intelligence in the next decade. The investor interest in this space speaks volumes. Peak XV Partners (formerly Sequoia India), an early backer of US-based Kalshi, has also placed its confidence on Probo—a telling endorsement of India's potential in this sector. This parallel investment strategy by one of the world's most astute venture firms underscores a critical insight: prediction markets are not a western novelty but a global opportunity, and India, with its vast digital population and analytical culture, is uniquely positioned to dominate. The sector has already attracted over $500 million in funding, with marquee investors recognising its potential to create a new asset class at the intersection of gaming, finance, and data analytics. India has the chance to build Made-in-India prediction tech for the world—leveraging its strengths in scalable digital infrastructure, a deep talent pool, and a culture that thrives on analytical engagement (as seen with fantasy sports' success). Unlike the West, where prediction markets are still niche, India's 50 million+ strong user base proves this model can achieve mass adoption. The 2023 amendments to online gaming rules provide a foundation, but implementation must accelerate. Without it, we face a fractured market—where state-level bans push activity into grey zones, startups struggle with investor uncertainty, and India misses its chance to set global standards. India cannot afford to be a bystander. With 50 million users, information market is no longer a niche activity—it's a burgeoning economic force. The 2023 amendments to the intermediary guidelines for online gaming were a step in the right direction, but implementation remains sluggish. Without decisive action, India risks ceding this space to foreign platforms or, worse, underground markets. The choice is clear: regulate with foresight, as was done with UPI and fintech, or repeat the mistakes of the past, where delayed policies stifled growth. The future of information markets isn't just about games—it's about who will harness the wisdom of crowds to shape the next era of the internet. The time to act is now—before the future outpaces us again. This article is authored by Arjya B Majumdar, professor, OP Jindal Global University, Sonipat.
