New Delhi, Feb 5 (PTI) Leading online travel firm MakeMyTrip on Friday said it will raise USD 200 million (over Rs 1,450 crore) through issue of senior convertible notes.

The company has announced, "the pricing of USD 200 million in aggregate principal amount of 0.00 per cent convertible senior notes due 2028," according to a statement.

The notes offering was upsized from USD 175 million, it added. "While the travel industry is in the midst of very difficult times, we are pleased with the overwhelming response to our convertible bond offering. This raise will bolster our cash reserves allowing us to meet the working capital requirements as the business recovery gathers momentum and also pursue any investment opportunities in the growing Indian market," MakeMyTrip Group CFO Mohit Kabra said.

This raise at zero coupons and conversion premium of 37.5 percent reflects global investors' appetite to invest behind strong Indian brands and businesses, he added.

The notes will not bear regular interest, and the principal amount of the notes will not accrete. The notes will mature on February 15, 2028, unless earlier redeemed, repurchased or converted in accordance with their terms before such date, the statement said.

The notes will be convertible into the company's ordinary shares at the holders' option at any time before the close of business on the second business day immediately preceding the maturity date.

The company intends to use the net proceeds for working capital and other general corporate purposes, MakeMyTrip said.

As on December 31, 2020, the balance of cash and cash equivalents and term deposits on MakeMytrip's balance sheet was USD 227.6 million.

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