MakeMyTrip has exited from IPO-bound travel app ixigo, the Nasdaq-listed company same in filings to the United States Securities and Exchange Commission, clocking 8x returns on its initial investment.
The secondary dealings was worth $38.5 million with investors together with Trifecta Leaders Fund-1, Bay Capital, Malabar Investments and white oak buying out its stake, according to a source.
Earlier in a very secondary sale of shares, the money doesn’t flow into the company’s coffers however goes to people who exit the development comes when the travel platform led by Aloke Bajpai and Rajnish Kumar raised $53 million (Rs 395 crore) in a very mixture of primary issuance and secondary sale of shares last month. That round was led by Singapore’s sovereign wealth fund GIC, and participation from Infoedge Venture Funds, White Oak, Bay Capital, Orios Venture Partners, Trifecta Capital and Malabar Investment,
“On August 9, 2021, we completed the sale of our entire equity investment within the securiities of an unlisted entity for a total money consideration of $38.5 million and recorded a gain on sale of $33.1 million, web of transaction related costs, which is able to be mirrored in our financial results for the six months ending Sep 30,” MakeMyTrip said on Monday, while not specifically naming ixigo.
MakeMyTrip had initially invested $4.8 million in ixigo.
Deep Kalra, the founding father of MakeMyTrip, has stepped down from ixigo’s board after the sale, sources said. “The realignment within the cap table comes sooner than the projected ipo of the company,” a source with direct information of the development said. Ixigo is eyeing a valuation of $750-$800 million for its IPO scheduled for the fourth quarter of the present calendar year.
Launched in 2007, ixigo contains a user base of over 250 million. earlier this year, the company acquired Bengaluru-based on-line train discovery and booking platform Confirmtkt for an unrevealed sum.
Last week, the company said it had acquired AbhiBus, a Hyderabad-based bus ticketing and aggregation platform, on a slump sale basis for a mix of money and ixigo equity shares.