Title: OYO Eyes Third IPO Attempt after Record ₹623 Cr Profit
The hospitality industry has been witness to a significant transformation over the past decade, with the rise of budget-friendly, tech-enabled hotel chains. One of the pioneers of this revolution is OYO, which has been expanding its presence rapidly across the globe. In a recent development, OYO is planning to file its initial public offering (IPO) papers with the Securities and Exchange Board of India (SEBI) between August and September 2025, aiming for a valuation of $6-7 billion.
This news comes on the back of a remarkable profit performance by the company in the fiscal year 2025 (FY25). According to reports, OYO has recorded a profit of ₹623 crore, marking a staggering 172% year-on-year increase. This impressive growth is a testament to the company’s ability to navigate the challenges posed by the COVID-19 pandemic and adapt to changing market conditions.
The decision to go public is a significant milestone in OYO’s journey, which began with its inception in 2013. From a humble start with 34 rooms in Gurgaon, OYO has grown exponentially to become one of the largest hospitality chains in the world, with over 1.5 million rooms across 80 countries.
OYO’s success can be attributed to its innovative business model, which focuses on providing affordable and comfortable accommodations to travelers. The company’s use of technology, including its proprietary algorithms and mobile apps, has enabled it to streamline operations, reduce costs, and provide a seamless experience to customers.
One of the key factors contributing to OYO’s success is its ability to expand its reach into new markets, including emerging economies. The company has established a strong presence in countries such as India, China, and Southeast Asia, where demand for budget-friendly accommodations is high.
In addition to its geographical expansion, OYO has also been investing heavily in its technology platform. The company has developed a range of innovative products and services, including its OYO Plus loyalty program, which rewards customers for their repeat bookings. OYO has also launched a host of other initiatives, such as its OYO Home offerings, which provide guests with a home-like experience.
The Delhi High Court’s recent ruling in OYO’s favor in its dispute with rival hotel chain Zostel is another significant development that has contributed to the company’s decision to go public. Zostel had claimed 7% equity in OYO, but the court has dismissed this claim, paving the way for OYO’s IPO.
OYO’s IPO is expected to be one of the most highly anticipated public offerings in recent times. The company’s valuation of $6-7 billion is a testament to its growth potential and its ability to attract investors. With its unique business model, strong technology platform, and expanding global presence, OYO is well-positioned to become a leading player in the hospitality industry.
In conclusion, OYO’s decision to file its IPO papers with SEBI is a significant milestone in its journey. With its impressive profit performance, innovative business model, and expanding global presence, the company is well-positioned to become a leading player in the hospitality industry. As OYO prepares to go public, investors and industry observers alike will be keeping a close eye on its performance, eager to see how the company will continue to evolve and grow in the years to come.
Source: https://startuptalky.com/news/oyo-set-to-file-ipo-papers-by-september/
