Nasdaq-listed online travel company MakeMyTrip is preparing to confidentially file draft papers for an initial public offering of its Indian business, with the issue expected to exceed $1 billion. According to a Moneycontrol report, the proposed IPO could be among the largest public offerings by an internet company in India in recent years.
The company is expected to submit its draft red herring prospectus through SEBI’s confidential pre-filing route within the next week. The mechanism allows companies to keep key financial and strategic details private while seeking regulatory observations before making the filing public.
The proposed public issue is expected to be primarily an offer for sale, although the final structure is yet to be finalized. Kotak Mahindra Capital, Axis Capital, JP Morgan, and Morgan Stanley have reportedly been appointed as the bankers for the issue.
Why MakeMyTrip Is Opting For A Confidential IPO Filing
SEBI’s confidential pre-filing route enables companies to delay public disclosure of sensitive business and financial information during the initial stages of the IPO process. It also gives issuers greater flexibility to decide the timing of their public offering based on market conditions.
MakeMyTrip had earlier indicated that it was evaluating an Indian listing and had been restructuring its operations in preparation. As part of this process, the company has merged several businesses under its Indian entity ahead of the proposed IPO.
India Listing Could Strengthen IPO Pipeline
If the listing moves ahead, it will mark MakeMyTrip’s first public offering in India since its Nasdaq debut in 2010. The proposed issue also reflects the growing interest among technology and internet companies in tapping Indian capital markets.
The company could join a growing number of businesses choosing SEBI’s confidential filing mechanism for large public offerings. The route has gained traction among issuers seeking greater flexibility over disclosures while navigating changing market conditions.
FAQs
- What is MakeMyTrip’s planned IPO?
MakeMyTrip is preparing to launch an initial public offering of its Indian business. The IPO is expected to raise more than $1 billion.
- What does a confidential IPO filing mean?
A confidential filing allows a company to submit IPO documents to SEBI without immediately making them public. This helps protect sensitive business information during the review process.
- Why is MakeMyTrip planning an IPO in India?
An Indian listing can help the company raise capital, strengthen its presence in the domestic market, and broaden its investor base.
- Has MakeMyTrip been listed on a stock exchange before?
Yes. MakeMyTrip has been listed on the Nasdaq stock exchange in the United States since 2010.
