Oyo is looking to raise more than $900 million through fresh issuance of shares while the rest of it would be through secondary share sale via an offer for sale (OFS). In an offer for sale, existing investors sell their stake, in part or fully.
Oyo’s draft red herring prospectus (DRHP) is not yet publicly available.
With this, Oyo is now among top-tier startups like Paytm, PolicyBazaar, Nykaa and others who have filed for IPOs. Online food delivery firm Zomato, in July, made a stellar debut on the bourses here that set the stage for domestic startups to ride on the current IPO wave.
This comes at a time when Oyo is also amidst a legal battle with once rival Zo Rooms which is hoping to get an interim stay from Delhi High Court to restrict the SoftBank-backed startup from modifying its cap table, including by way of an IPO. The dispute, which was heard on Wednesday,
will be heard next on October 7 as reported by ET.
ET was the first to report that Oyo is looking at a valuation of over $12 billion but Oyo hasn’t mentioned about share pricing in the DRHP yet. Oyo was last valued at $9.6 billion after raising around $5 million in strategic investment from Microsoft.
