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Nasdaq-listed travel company MakeMyTrip is weighing the benefits of listing its Indian arm via Indian Depository Receipts (IDRs) rather than a traditional initial public offering (IPO), according to two people familiar with the matter.
“An IDR structure is on the table, being viewed as a method to manage tax obligations that would be triggered by the Mauritius-based parent entity—MakeMyTrip Ltd—during a secondary sale of shares in a domestic IPO,” said one of the two persons on the condition of anonymity.
The development follows the company's reaffirmation of its strategic priorities on 16 March, including plans for a potential listing of its India business after the consolidation of its brands, such as RedBus India, under MakeMyTrip (India) Pvt. Ltd.
The company provides flight, hotel, and bus bookings through its platforms, including Goibibo and RedBus.
Experts say the move may have been driven by the 15 January Supreme Court of India ruling in the Tiger Global-Flipkart tax case, which held that a Mauritius-based holding company participating in an offer for sale (OFS) in an Indian IPO would be liable to pay capital gains tax in the country on such transactions.
"In practical terms, this means that reliance on Mauritius purely as a tax-efficient holding jurisdiction is significantly weakened in the context of IPO exits," said Sonam Chandwani, managing partner, Mumbai-based law firm KS Legal & Associates.
The IDR route allows a foreign-listed company to remain domiciled abroad while accessing local liquidity by issuing receipts to Indian investors that are backed by shares held by a custodian, avoiding tax liabilities.
“There is renewed interest in the IDR route. Especially after Sebi (Securities and Exchange Board of India) has begun a revamp process to improve the viability of the product,” the second person said, also on the condition of anonymity.
Business Standard was the first to report on 7 April that the regulator was discussing whether IDRs can be repositioned as a credible route to deepen the country's capital markets.
As of now, Standard Chartered Plc remains the only major foreign entity to have used the IDR framework in the country, having listed receipts in 2010 to a limited response. The bank delisted its IDRs in July 2020 owing to low participation.
“Unless the regulatory changes go far enough to address fungibility, investor rights, and ease of conversion into underlying equity, the instrument will continue to be perceived as a constrained proxy rather than true equity participation,” Chandwani explained.
MakeMyTrip, which has a market capitalization of approximately $5.7 billion on the Nasdaq Composite, has not yet made a decision, both people said. It may choose to maintain its current listing structure or pursue a different path for domestic capital raises, they added.
“As part of its long-term growth objectives, the company is in the process of evaluating a potential listing in India, which could provide an additional avenue to access capital, including from domestic institutional and retail investors as well as enable it to provide India-listed equity as potential consideration for growth initiatives,” a MakeMyTrip spokesperson said.
"Any potential India listing remains subject to, among other things, market conditions, regulatory approvals, and customary corporate considerations. The company will make any further public disclosures in this regard as and when appropriate," the spokesperson added.
MakeMyTrip’s India plans coincide with a steady pipeline of technology-backed firms' public listings in the country’s equity markets.
Quick-commerce platform Zepto, e-commerce giant Flipkart, Reliance Industries' telecom arm Reliance Jio and National Stock Exchange of India are among the major names set to tap the country's primary market in 2026.
Even in 2025, around 103 companies got listed on the mainboard indices, collectively mopping up approximately ₹1.75 trillion through their IPOs. Among the larger issues were e-commerce platform Meesho, stockbroker Groww, and eyewear retailer Lenskart.
As of 10 April, India has seen 18 mainboard IPOs, raising ₹18,778 crore, according to Prime Database.
However, with volatile markets and slowing capital flows due to the US-Iran war, several companies have been forced to defer or recalibrate their IPO plans of late. Mint reported on 25 March that global uncertainty put about ₹18,000 crore of planned fundraising at risk.
In response to growing market caution, Sebi, this month, extended the validity of its IPO approvals and allowed companies to trim their offer sizes without refiling papers.
Agnidev is a business journalist with over two years of reporting experience tracking the intersection of capital, policy, and corporate strategy in India.He joined Mint in December 2025, after a stint at NDTV Profit (erstwhile BQ Prime). At Mint, Agnidev focuses on the high-stakes world of the Indian capital market, specialising in mergers and acquisitions, burgeoning IPOs, and the investment banking industry.Backed by a rigorous, data-driven approach, Agnidev frequently breaks news on the valuation cycles, deal pipelines and listing strategies of India’s most prominent companies. His reportage offers deep dives into the operational health of market leaders across the corporate landscape, providing readers with a clear-eyed view of institutional growth.He has reported on major issues like India's derivatives frenzy, IPO froth, the competitive quick commerce industry, the real-money gaming ban, and has broken investigative stories related to scandals such as IndusInd Bank's accounting manipulation and the Gensol-BluSmart fiasco.As a reporter, he brings stories that ultimately affect your stock market investments, and tries to bring clarity and brevity in a field that is often filled with jargon and noise.