Advertisement

OYO Revives Public Offer, Files Addendum With SEBI

Oyo, filed an addendum to its previously submitted draft red herring prospectus (DRHP) with Securities and Exchange Board of India (Sebi) in which it has put in place its revived plans for its stock market debut after cost cuts and the recovery in travel, which led to a reduction in losses

Hospitality and travel tech firm, Oyo on Monday filed an addendum to its previously submitted draft red herring  prospectus (DRHP) with Securities and Exchange Board of India (Sebi) in which it has put in place its revived plans for its stock market debut after cost cuts and the recovery in travel, which led to a reduction in losses.

In its IPO filing addendum, Oyo unveiled the numbers showing narrow losses and a rebound in sales for the June quarter of FY23. The company’s losses have reduced to Rs 18.9 billion for the year post March 2022 as per the addendum made available by its bankers.

Adjusted gross profit margin increased from 9.7 per cent in fiscal 2020 to 33.2 per cent in fiscal 2021. Moreover, its EBITDA losses from fiscal 2020 to 2021 amount for 79 per cent reduction. EBITDA was reduced further and recorded its maiden positive during the June quarter of fiscal year 2023. whereas, in financial year 2021 to 2022, Oyo's revenue from operations rose 21 per cent to Rs 4,781.4 crore from Rs 3,961.6 crore in 2021.

Previously, Oyo had filed its DRHP for its initial public offering (IPO) in October. A fresh issue of equity shares aggregating up to Rs 7,000 crore along with an offer for sale to the tune of Rs 1,430 crore was in the company's proposed issue, as per its DRHP.

The proceeds from the public issues will be used for prepayment or repayment, in some measures, of certain borrowings availed by its subsidiaries, funding organic and inorganic growth initiatives, and general corporate purposes, the company said.

The company, which was founded in 2012, will now opt for an initial share sale in early 2023 if the Indian stock market as well as economic conditions continue their upward trend, as provided by some sources. This startup is presently focused on four main regions: India, Malaysia, Indonesia and Europe, and has restrained its operations in markets such as the US and China, which were earlier considered crucial.


Tags assigned to this article:

Around The World

Advertisement