MakeMyTrip manages to get $330 million from Naspers, Ctrip.com and others

Nasdaq-listed online travel services provider MakeMyTrip Ltd is raising $330 million (Rs 2,116 crore) from South African technology group Naspers, Chinese travel firm Ctrip.com and other investors.

MakeMyTrip will mobilise $132 million from Naspers by allotting 3.66 million Class B Shares at $36 apiece and $33 million from Ctrip by issuing 916,666 ordinary shares at the same price, the travel company said in a statement.

The Class B shares will be convertible into ordinary shares. The company will also raise $165 million more via a share placement to investors it didn’t identify.

The company said it will use the funds for business expansion, strategic investments, technology and product development, marketing and promotions, general corporate purposes and to meet working capital.

Naspers, which already has a 36% stake in MakeMyTrip after the Indian company’s merger with ibibo Group in October last year, will continue to be the single-largest stakeholder.

For Ctrip, the deal will cement its position as one of the significant minority shareholders.

The company recently forayed into the budget hotel segment, after indicating that it was all set to become a full-stack services player in the online travel agency segment.