SoftBank-backed hospitality giant OYO has filed a draft red herring prospectus (DRHP) with the Securities and Exchange Board of India (SEBI) to raise ₹8,430 cr or about $1.2 bn, through its public offering (IPO).
The proposed initial public offer (IPO) plan of the hospitality firm follows the spectacular success of Zomato''s IPO that ended with a bumper oversubscription on July 16, and was biggest since March 2020.
Shareholders of Oravel Stays, the parent company of hospitality firm OYO, had approved the conversion of the company from a private limited company to a public limited company, according to a regulatory filing.
OYO in August, in a Registrar of Companies (RoC) filing, had said that Microsoft Corporation has invested nearly USD 5 million (about Rs 37 crore) in OYO through the issuance of equity shares and compulsory convertible cumulative preference shares on a private placement basis.
Earlier in July, the company had raised USD 660 million through term B loan route from global institutional investors, including Fidelity Investments to refinance and simplify its existing borrowings.