MakeMyTrip Files For $1 Billion IPO As Indian Primary Market Heats Up

Online travel aggregator MakeMyTrip has filed a confidential Draft Red Herring Prospectus (DRHP) with SEBI, alongside the BSE and NSE. The proposed initial public offering, estimated to exceed $1 billion, marks a strategic pivot 15 years after its initial Nasdaq listing. The move is structured as an Offer for Sale (OFS), allowing existing shareholders to divest while the parent firm retains control of its domestic arm to fuel expansion. Institutional and retail investors have shown strong interest, signaling confidence in the digital travel sector.

In contrast to this established player, the broader startup ecosystem is facing a major correction. Quick-commerce unicorn Zepto is navigating significant valuation pressure, with market estimates sliding from an initial $5.1 billion projection to between $3 billion and $4 billion. Consequently, Zepto is considering reducing its $800 million IPO size by up to 20% to ensure success. This divergence highlights a shift in investor sentiment, as domestic institutional players now prioritize fiscal discipline and sustainable margins over the growth-at-all-costs models common in previous years.

The primary market remains active, with companies like Cube Highways and Xtranet Tech expected to open subscription windows shortly. Investors are closely monitoring grey market premiums (GMP) for these issues and others, such as SBI Funds Management and Alpine Texworld, as indicators of listing-day performance. While broader market volatility persists, the influx of these companies underscores robust liquidity and a resilient appetite for new investment. The ability of these firms to deliver value will be critical as the market absorbs this significant new supply.