OYO (PRISM Parent) – Targets November IPO With ₹6,650 Cr Fresh Issue

Expert Analysis:

• IPO timeline: PRISM, the parent company of OYO, is reportedly targeting a November 2026 IPO, subject to investor demand, market conditions and final regulatory approvals. The launch date has not been confirmed.

• ₹6,650 Cr fresh issue: The updated draft prospectus proposes raising up to ₹6,650 Cr entirely through a fresh issue, with no offer for sale by existing shareholders.

• Debt repayment priority: Around ₹4,987.5 Cr is earmarked for investment in subsidiary Oravel Stays Singapore to repay or prepay borrowings, with the remaining proceeds allocated to general corporate purposes.

• Financial performance: FY25 revenue rose 16% to ₹6,252.8 Cr, while net profit increased to ₹244.8 Cr. However, the reported profit benefited from a ₹767.6 Cr deferred tax credit despite a pre-tax loss of ₹489.3 Cr.