Amid the ongoing speculations about its initial public offering (IPO), hospitality major OYO has reportedly restarted discussions for its public issue and is looking to file its draft red herring prospectus (DRHP) with SEBI between August and September this year.
Citing sources, news agency PTI reported that the startup has held initial discussions with multiple investment banks, which have said that OYO could garner a valuation of $6 Bn to $7 Bn during its listing.
The startup is eyeing a debut on the exchanges by the March quarter (Q4) of fiscal year 2025-26 (FY26), the report added.
Notably, this would be OYO’s third attempt at going public after shelving earlier plans in 2022 and 2024.
The report said that a crucial meeting between OYO’s board and representatives of SoftBank, which holds over 30% stake in the startup, is scheduled next month in London.
This comes weeks after it was reported that SoftBank had advised OYO to put its IPO plans on hold for a few months. While OYO was earlier said to be targeting a listing by October this year, the company extended the timeline to March 2026 post SoftBank’s intervention, Bloomberg reported.
Earlier, it was reported that there was creditors’ pressure on CEO Ritesh Agarwal to expedite the IPO process. For context, Agarwal had taken a $2.2 Bn loan in 2019, personally guaranteed by SoftBank’s Masayoshi Son, to increase his stake in OYO. The restructured loan included a $383 Mn installment due in December 2025.
The development also came in the backdrop of creditor pressure on CEO Ritesh Agarwal to expedite OYO’s IPO process. For context, Agarwal had taken a $2.2 Bn loan in 2019, personally guaranteed by SoftBank’s Masayoshi Son, to increase his stake in OYO. The restructured loan included a $383 Mn installment due in December 2025.
This also comes at a time when OYO’s topline and bottomline has been witnessing a rapid expansion. OYO founder and CEO Ritesh Agarwal, during a town hall earlier, said that the startup’s net profit surged 172% to INR 623 Cr in FY25 from INR 229 Cr in the previous fiscal year.
The post OYO Plans To File IPO Papers By September appeared first on Inc42 Media.
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