OYO Eyes Third IPO Attempt after Record ₹623 Cr Profit
In a recent development, hospitality firm OYO is gearing up to file its initial public offering (IPO) papers with the Securities and Exchange Board of India (SEBI) between August and September 2025. This move marks the company’s third attempt at going public, following its failed attempts in 2019 and 2021. OYO is targeting a valuation of $6-7 billion, which would make it one of the most valuable companies to list on the Indian stock exchange.
The company’s decision to go public comes on the back of a record profit of ₹623 crore (approximately $83 million) in FY25, marking a staggering 172% year-on-year increase. This impressive growth is a testament to OYO’s ability to adapt to the changing market dynamics and its focus on expanding its presence in the hospitality sector.
OYO’s success can be attributed to its aggressive expansion strategy, which has seen the company enter new markets and scale its operations to meet the growing demand for affordable and quality accommodations. The company’s focus on technology and innovation has also enabled it to stay ahead of the competition, offering a seamless and personalized experience to its customers.
Another significant development that has given OYO a boost is the recent ruling by the Delhi High Court in its favor in its dispute with Zostel. The court dismissed Zostel’s 7% equity claim, paving the way for OYO to move forward with its IPO plans. This dispute has been ongoing for several years, with OYO accusing Zostel of misusing the company’s intellectual property.
The Delhi High Court’s ruling is a significant victory for OYO, as it clears the way for the company to focus on its IPO plans. The court’s decision has also sent a strong message to other companies in the industry, emphasizing the importance of respecting intellectual property rights and adhering to fair business practices.
OYO’s IPO plans are expected to be one of the most highly anticipated events in the Indian startup ecosystem this year. The company has already received interest from several major investors, including global giants like Blackstone and SoftBank. OYO’s IPO is expected to be a significant fundraising exercise, with the company looking to raise around $6-7 billion in fresh capital.
The success of OYO’s IPO would not only be a significant milestone for the company but also for the Indian startup ecosystem as a whole. It would demonstrate the potential for Indian startups to scale globally and attract international investors. OYO’s IPO would also provide a platform for other startups to learn from its experience and follow in its footsteps.
In conclusion, OYO’s decision to file its IPO papers with SEBI is a significant development in the company’s journey towards becoming a publicly listed entity. The company’s impressive financial performance, aggressive expansion strategy, and focus on innovation have all contributed to its decision to go public. With its dispute with Zostel finally settled, OYO is poised to make a strong debut in the Indian stock market.
Source: https://startuptalky.com/news/oyo-set-to-file-ipo-papers-by-september/
