Oyo Parent To Seek Shareholder Nod For $744 Mn IPO
- ByStartupStory | November 30, 2025
Prism Calls EGM For Fresh Issue, Bonus Shares And Capital Hike Ahead Of Listing
OYO’s parent company PRISM has convened an Extraordinary General Meeting (EGM) on December 20 to secure shareholder approval for raising up to ₹6,650 crore ($744 million) through a fresh equity issue as part of its long-awaited initial public offering. The proposed IPO will list shares on NSE and BSE, marking a pivotal milestone after multiple delays since filing draft papers in 2021. Shareholders will also vote on increasing authorised share capital from ₹2,431 crore to ₹2,491 crore to accommodate the public offer and related issuances.
Revised Bonus Structure Rewards All Equity Holders
Ahead of the IPO, PRISM proposes a 1:19 bonus issue, allotting one fully paid-up equity share for every 19 held, with December 5 as the record date. Funded from share premium and reserves, this equitable plan follows the withdrawal of a controversial earlier structure criticised for favouring large holders and requiring opt-ins. The simplified bonus aims to boost liquidity and align stakeholders before market debut.
Financial Turnaround Powers Listing Revival
OYO reported FY25 net profit surging 172% to ₹623 crore on 20% revenue growth to ₹6,463 crore, with founder Ritesh Agarwal projecting ₹1,100 crore profit in FY26. Post-restructuring, the travel tech platform has achieved consistent profitability across quarters, positioning it for valuation between $5-7 billion at listing. The IPO timing aligns with buoyant market conditions and India’s hospitality sector rebound.
Governance Reset And IPO Roadmap
The EGM seeks approvals for Memorandum amendments and promoter lock-ins of six months post-listing, ensuring stability for public investors. After confidential pre-filing in 2023 and DRHP updates, PRISM targets early 2026 launch, capitalising on global expansion and asset-light franchising that delivered seven straight profitable quarters. This move signals OYO’s maturity from unicorn challenger to public market contender.
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