MakeMyTrip raises $3.1 billion to slash Chinese firm Trip.com's stake to 20%
On Tuesday, MakeMyTrip, in a regulatory filing, said that it is raising $3 billion to buy back shares from Trip.com Group, reducing the Chinese company's holding to 20% from the initial 45%.
The fundraise is the largest ever by a listed Indian new-age company.'Primary equity follow-on offering of 18,400,000 ordinary equity shares priced at $90 per share and five-year convertible senior notes offering, at zero percent coupon and 35.0% conversion premium, together represent APAC's largest concurrent offering of equity follow-on and convertible notes since 2022,' said Kamal Yadav, managing director, investment banking, at Morgan Stanley. MakeMyTrip cofounders Deep Kalra and Rajesh Magow currently hold 4.6% of the company's voting rights. Both serve on the board, with Kalra as chairman. The cofounders also retain the right to appoint three independent directors.
Following the buyback, Trip.com's stake in MakeMyTrip has dropped to 19.99% from 45.34%. Its board representation has also been reduced to two directors from five.
The move comes a month after MakeMyTrip faced allegations of endangering the travel data of Indian army personnel due to its Chinese shareholding. Nishant Pitti, founder of rival EaseMyTrip, had alleged that three of the four strategic board committees at MakeMyTrip 'are either led or significantly influenced by directors with clear Chinese affiliations.' MakeMyTrip dismissed the allegations as a 'motivated accusation'.
Trip.com first invested in MakeMyTrip in January 2016 with $180 million in convertible bonds. In 2019, Trip — then known as Ctrip — acquired a 42% stake held by Naspers in a swap deal, receiving a 5.6% stake in Ctrip in exchange.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Time of India
26 minutes ago
- Time of India
Kinetic launches DX e-scooter starting at ₹1.11 lakh
Marking a significant comeback in the Indian two-wheeler market, Kinetic Engineering Ltd . (KEL) on Monday launched the Kinetic DX EV, an electric version of its iconic DX scooter from the 1990s. Developed and manufactured by its electric vehicle arm Kinetic Watts and Volts , DX EV is available in two variants — DX and DX+, priced at ₹1,11,499 and ₹1,17,499 (ex-showroom, Pune), respectively. Bookings are now open on the company's official website, with a refundable booking amount of ₹1,000. According to the company's statement, deliveries will begin in September 2025, with bookings limited to 35,000 units. It is co-developed with Italian designers and comes integrated with segment-first features such as Kinetic Assist, voice alerts, and Easy Flip pillion footrest. The company said DX EV's key highlight is its 37-litre under-seat storage, which it claims is the largest in its class, capable of holding two helmets and additional essentials. 'The legendary Kinetic DX earned a permanent place in the hearts of millions,' said Ajinkya Firodia, Vice Chairman, Kinetic India. 'Reviving this icon was about reintroducing reliability and innovation in a future-ready format. The new DX marks the beginning of a bold new chapter for Kinetic and for India's electric mobility landscape.' Performance and features DX+ is powered by a 2.6 kWh LFP battery (supplied by Range-X) and delivers an IDC range of 116 km and a top speed of 90 kmph. It also features K-Coast regenerative technology, a 60V system, and three riding modes — Range, Power, and Turbo. The scooter comes equipped with a BLDC hub motor producing 4.8 kW peak power, 220mm front disc brake, telescopic front suspension, adjustable rear shock absorbers, and combi-braking system. While the DX+ will be available in five colours — Red, Blue, White, Silver, and Black — the DX variant will come in Silver and Black. The e-scooter will be manufactured at Kinetic's facility in Pune. The company has already infused ₹72 crore into its EV business and committed an additional ₹177 crore for scaling up the DX platform.
Economic Times
26 minutes ago
- Economic Times
Should auto stocks be on radar? How to play defence stocks? Amnish Aggarwal explains
Amnish Aggarwal, Head, Research, Prabhudas Lilladher, says defence stocks experienced a sharp rally post Operation Sindoor, but fundamentals may take time to catch up. Auto sector performance will be stock-specific, influenced by international deals and the India-US agreement. Domestically, Eicher Motors in two-wheelers and M&M in PVs are currently showing strength, with monsoon impact and the upcoming festival season being key factors to watch. ADVERTISEMENT We have seen a range-bound momentum in the Jio Financial stock but on a longer-term picture, there's still conviction on the stock, say experts. What is your view? Amnish Aggarwal: We do not have any numbers on Jio Financial so far, but having said that, Jio Financials in particular is trying to grow big, as has been the case with some of the other ventures of the Reliance group. Now be it in asset management or segments of financial services, as of now, it is in a very nascent stage because they are handling very limited tangible business as of now. So, it is difficult to say with just one-year, two-year numbers. It will take time for the businesses to shape up. Yes, there could be some need for funding as they expand and that can be raised from the markets given the kind of brand equity the group has. News flow is coming in for the auto sector. Do you have any take on the automobile space or have you kept the space in your watch list for now? Amnish Aggarwal: In auto, one needs to be very stock specific because as far as the deal between the European Union, the UK, or the US is concerned, it is not going to impact the entire sector, that is one. Secondly, a lot will depend upon how the India-US deal goes through in terms of exports from many of the Indian companies. As far as the current deal we are going through, it might be beneficial for Tata Motors but not for others. But the mainstay of the Indian auto companies has been the domestic side where, in two- wheelers, it is Eicher Motors and in case of PVs, M&M is actually doing well. With monsoons being good, there could be some momentum there. It is very difficult to give any single point and very difficult to paint everything with the same brush. But having said that for the consumer or the consumption space, all those factors will play for auto whether it is interest rates, tax cuts, inflation and all that stuff which ideally should be positive for having said that, the groundwork is there but one needs to see how in the coming festival season in particular the auto sales go. But if you go by the current numbers, M&M and Eicher are the two stocks which really continue to look good. What about oil marketing, oil exploration, and oil producers? At present, ONGC, HPCL, and IOC are showing signs of sharp upsurge. However, oil refiners are tanking down in trade. Any crude related counters, space, sectors on your radar? Amnish Aggarwal: Due to the benign crude prices, if you look at the oil marketing companies like HPCL, IOC, etc, over the past few months, these stocks have done well and numbers expectations are also built in. So, a lot here will depend on how the crude prices behave. Among oil exploration companies, we have been positive on Oil India in the past. ADVERTISEMENT But, if the oil prices remain benign, then in some of the refining and the marketing companies, the losses will not come from marketing and those counters can see some stability or an upside from here. What is your take on the defence sector? Of late, BEL, Mazagon Dock counters have been lagging behind and they have been seeing a bit of a U-turn from higher levels. Is much of the optimism with respect to their order book, and growth trajectory already in the price and any expectation with respect to BEL? Amnish Aggarwal: Among the defence stocks, particularly after Operation Sindoor, for the next one, one-and-a-half months, there was a very sharp rally in many of these stocks and many of them gave 20-25% return from those levels. Sometimes these stocks go up but the fundamentals take time to catch up. Now, the order books are growing, the growth is there, but the numbers are not going to dramatically change from here. In the long term, these stocks continue to look good whereas in the near term, many of these stocks will move sideways to weak movements and that is a part of what happens naturally with many of the stocks. ADVERTISEMENT
Mint
26 minutes ago
- Mint
Oil steadies as investors assess US-EU deal
LONDON (Reuters) -Oil prices edged higher on Monday as investors assessed a trade deal between the United States and the European Union, while a stronger US dollar and lower oil imports by India weighed on prices. Brent crude futures were up 30 cents, or 0.4%, to $68.74 a barrel by 0813 GMT, while U.S. West Texas Intermediate crude stood at $65.43 a barrel, up 27 cents, or 0.4%. The U.S.-European Union trade deal and a possible extension in the U.S.-China tariff pause are supporting global financial markets and oil prices, IG markets analyst Tony Sycamore said. Sunday's U.S.-EU framework trade pact sets an import tariff of 15% on most EU goods, while U.S. President Trump said the deal calls for $750 billion of EU purchases of U.S. energy in coming years. Senior U.S. and Chinese officials will meet in Stockholm on Monday, aiming to extend a tariff truce before an August 12 deadline. Oil pared most of its gains on Monday after Brent futures rose above $69 a barrel earlier in the day. Oil retreated from those levels as focus shifted to a stronger US dollar and lower oil imports by India, following the removal of another uncertainty with the US-EU deal, PVM analyst Tamas Varga said. On the supply side, an OPEC panel is unlikely to alter existing plans to raise oil output when it meets on Monday, four OPEC delegates told Reuters on July 25. ING expects OPEC will at least complete the full return of 2.2 million barrels per day of the additional voluntary supply cuts by the end of September. Also on the supply side, Venezuela's state-run oil company PDVSA is readying to resume work, once Trump reinstates authorisations for its partners to operate and export oil under swaps, company sources said. In the Middle East, Yemen's Houthis said on Sunday they would target ships of companies that do business with Israeli ports, regardless of nationality, in what they called a fourth phase of military operations against Israel over the Gaza conflict. (Reporting by Enes Tunagur in London, Florence Tan in Singapore and Sam Li in Beijing; Editing by Clarence Fernandez, Jacqueline Wong and Giles Elgood)
