After multiple delays, the hospitality unicorn is gearing up for a public listing amid improved financials and renewed investor optimism.
OYO’s IPO Plan Back on Track
OYO, led by Ritesh Agarwal, is preparing to file its Draft Red Herring Prospectus (DRHP) for an IPO in November, targeting a valuation of $7–8 billion, according to PTI reports.
- The proposal is expected to be presented to the board next week.
- An official OYO spokesperson stated that any IPO decision would rest with the board of directors and that the company is currently evaluating strategic options to maximize stakeholder value.
This move marks the company’s third attempt at going public.
A Bumpy Road to the Bourses
OYO’s path to an IPO has been long and turbulent:
- September 2021: Filed DRHP to raise $1.2 Bn at a $11–12 Bn valuation
- 2022–2023: Listing delayed due to unfavorable market conditions
- 2023: Filed confidentially again but the attempt did not materialize
This time, however, the environment appears more favorable, with startup IPOs gaining momentum and OYO showcasing stronger financials.
Financials Signal Readiness
OYO has posted a significant improvement in its bottom line:
- Net profit in FY25: â‚ą623 Cr, up 172% from â‚ą229 Cr in FY24
- Revenue in FY25: â‚ą6,463 Cr, a 20% increase from â‚ą5,388.7 Cr in FY24
- FY26 projection: Founder Ritesh Agarwal expects â‚ą1,100 Cr net profit
These numbers reflect robust operational efficiencies, and may help OYO regain investor confidence ahead of the IPO.
What This Means for India’s IPO Landscape
OYO’s IPO is set to be one of the most anticipated listings in India’s consumer-tech and travel sector. If successful, it will:
- Validate investor appetite for profitable, scaled startups
- Offer a benchmark for other late-stage unicorns in hospitality, mobility, and fintech
- Signal a comeback from early pandemic-era challenges, when the travel industry was among the hardest hit
