Oyo set to revive IPO plans amid record profits and controversial new policy

OYO Revives IPO Plans with Strong Profits, Introduces New Policy for Unmarried Couples in Meerut.

Expert Analysis:

• IPO Filing Plans: OYO plans to file its DRHP by Q1 FY25, marking its third IPO attempt, as it looks to cash in on a profitable year and restructuring efforts.

• Ownership Reshuffle: Founder Ritesh Agarwal strengthens control, while early investors like Lightspeed Venture Partners are expected to exit.

• Financial Performance: OYO reported a profit of ₹229 crore (US$26.49 million) for FY24 and ₹132 crore (US$15.27 million) for Q1 FY25, boosting IPO prospects.

• New Policy for Unmarried Couples: OYO introduces a policy in Meerut requiring proof of relationship for unmarried couples before checking into partner hotels, citing local social sensibilities.

• Expansion Speculation: The policy is currently limited to Meerut, but there’s speculation it may expand to other cities. as OYO balances financial goals with social responsiveness.