OYO’s parent PRISM gets shareholder approval to raise Rs 6,650 crore via IPO

PRISM, the parent company of OYO, has received shareholder approval to raise up to Rs 6,650 crore through a fresh issue of equity shares as part of its proposed initial public offering (IPO).

The approval was granted at an Extraordinary General Meeting held on December 20, 2025, where shareholders cleared the special resolution to undertake the IPO, subject to regulatory approvals and market conditions.

Shareholders also approved a bonus issue of equity shares in the ratio of 1:19, with December 5, 2025 fixed as the record date to determine eligible shareholders.

The EGM approvals come as PRISM advances preparations for a public listing after multiple deferrals in the past, including an aborted IPO attempt during a period of heightened scrutiny around governance, valuation, and business sustainability. Since then, the company has simplified its capital structure, raised capital through private placements.

PRISM, formerly known as Oravel Stays, formally adopted its new name earlier this year as part of an effort to reposition itself as a broader travel and technology platform rather than a pure-play budget hospitality brand.

Founded in 2012 by Ritesh Agarwal, the company operates OYO as a global hospitality technology platform offering standardised hotels, homes, and living spaces in partnership with property owners, supported by full-stack technology for booking, operations, and revenue management.

OYO recorded a profit after tax of over Rs 200 crore in the first quarter of the current fiscal year, more than doubling from Rs 87 crore in the same quarter last year. Revenue rose 47% year-on-year to Rs 2,019 crore, while Gross Booking Value increased 144% to Rs 7,227 crore, up from Rs 2,966 crore in the year-ago period.

For the full year ended FY25, the company reported revenue of about Rs 6,253 crore, up roughly 16% year-on-year, with profit after tax at Rs 244.8 crore, compared with Rs 229.6 crore in the previous year.