IPO-bound Oyo Is In Advance Talks To Raise Rs 1,000 Cr
Oyo has withdrawn its IPO applications twice and claims to have recorded its first net profit in FY24
Hospitality startup Oyo is in advanced talks to raise about Rs 1,000 crore (USD 120 million) from Indian corporate executives' family offices and stock market experts.
The company, which pulled its IPO application last month, will hold a meeting to approve the fundraise after increasing its authorised share capital. The deal is expected to value the company at around USD 2.5 billion, marking a significant decrease from its peak valuation of USD 9 billion in 2021.
Oyo is also in the final stages of negotiations with Malaysian sovereign wealth fund Khazanah Nasional. The startup may raise up to Rs 300 crore from Khazanah and the rest from domestic investors.
Incred Wealth is assisting Oyo in pitching the fundraise. It plans to close the funding, including family offices and institutional investors, by the end of the month. Oyo, Incred Wealth and Khazanah did not respond to queries till press time on Sunday. Oyo has withdrawn its IPO applications twice and claims to have recorded its first net profit in FY24. It has projected gross booking value and revenue for FY25. Oyo also highlighted its take rate and gross order value growth rate. The company aims to complete servicing over USD 300 million in debt by next year.
