MakeMyTrip IPO nets $70 million on Nasdaq
13 Aug 2010
India's leading online travel company, MakeMyTrip has made a dream debut on the US market seeing its shares soar over 90 per cent hours after its listing on leading American stock exchange, NASDAQ.
Deep Kalra, CEO of MakeMyTrip, who rang the NASDAQ opening bell to begin trading at the exchange said it would be fair to say it had been a fairytale listing for the company. He added that nobody had quite anticipated the response the company had got and everyone was excited.
The company was able to raise $70 million at an Initial Public Offering (IPO) of 5 million shares to US investors at an offer price of $14 per share.
It was valued at close to $480 million, prior to the listing, however following the surge in stock price, the valuation jumped to around $800 million and shares closed at $26.45 on the NASDAQ.
Kalra, founded MakeMyTrip in 2000. Pleased with the market reaction, he said he would focus on using the proceeds to help the company's growth. He added it was a good milestone but only the beginning of a long journey.
MakeMyTrip is focused on selling travel in India, which is expected to overtake China as the world's most populous country in 20 years.