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Third Time’s the Charm? Oyo Prepares for November IPO Filing with Renewed Confidence

Swarnadwip Nath Published Aug 28, 2025, 05:13 AM Updated Sep 16, 2026, 11:12 AM

After two previous attempts to go public, hospitality tech giant Oyo is gearing up for a third shot at the bourses. The SoftBank-backed company is expected to file its Draft Red Herring Prospectus (DRHP) in November 2025, aiming for a valuation between USD 7–8 billion. With improved financials, strategic restructuring, and a more favorable market climate, Oyo’s leadership is optimistic that this time, the IPO will finally materialize.

Key Highlights

Oyo plans to file its DRHP in November 2025, targeting a valuation of USD 7–8 billion

The IPO could be one of the largest in India’s hospitality sector in recent years

Valuation guidance implies a multiple of 25–30 times EBITDA

The company has achieved ten consecutive quarters of EBITDA profitability

Founder Ritesh Agarwal and SoftBank have ramped up discussions with key banking partners

A Look Back: Oyo’s IPO Journey So Far

Oyo’s IPO ambitions date back to 2021, when it filed its first DRHP with SEBI, seeking to raise ₹8,430 crore at a USD 12 billion valuation. The plan included ₹7,000 crore in fresh issuance and the remainder via offer-for-sale. However, the pandemic-induced market volatility forced the company to withdraw its filing.

In 2023, Oyo refiled its DRHP through SEBI’s confidential pre-filing route, reducing the issue size to USD 400–600 million. This time, the offering was entirely fresh equity. Despite submitting revised financials, SEBI returned the papers, citing concerns over valuation methodology and unresolved legal matters.

Now, with its third attempt, Oyo is banking on stronger fundamentals and clearer disclosures to finally secure regulatory approval.

Financial Turnaround and Market Readiness

Oyo’s recent financial performance has been a key driver behind its renewed IPO push:

FY25 profit after tax rose 172 percent to ₹229 crore

Adjusted EBITDA reached ₹1,132 crore, up 27 percent from the previous year

The company has maintained profitability for ten consecutive quarters

These figures reflect a significant turnaround from earlier losses and demonstrate operational discipline across its global portfolio. The hospitality sector itself has seen double-digit growth in recent quarters, providing a favorable backdrop for Oyo’s listing.

Strategic Moves Ahead of the Filing

Banking Partnerships Oyo has engaged with top financial institutions including Axis, Citi, Goldman Sachs, ICICI, JM Financial, and Jefferies to finalize IPO logistics and assess market sentiment.

Brand Identity Overhaul Founder Ritesh Agarwal has initiated a rebranding exercise for parent company Oravel Stays Ltd, crowdsourcing name suggestions via social media. The new identity is expected to unify Oyo’s expanding portfolio.

Product Segmentation The company is considering launching a separate app for its mid-market to premium serviced hotels, a segment that has seen rapid growth both in India and overseas.

These strategic steps are aimed at enhancing investor confidence and positioning Oyo as a diversified global travel tech brand.

What to Expect from the IPO

The DRHP filing will likely highlight Q1 FY26 financials and showcase operational improvements

The issue size is expected to be significant, with all proceeds going to the company

Valuation per share is estimated around ₹70, based on current guidance

The IPO will offer retail and institutional investors exposure to one of India’s most recognizable tech brands

If successful, the listing could mark a major milestone for India’s startup ecosystem and signal renewed investor appetite for tech-driven hospitality ventures.

Conclusion

Oyo’s third attempt at going public is backed by stronger financials, strategic clarity, and a more mature market environment. With the DRHP filing slated for November and valuation guidance in place, all eyes are on whether this long-anticipated IPO will finally cross the finish line. For founder Ritesh Agarwal and investors like SoftBank, it’s a high-stakes moment that could redefine the company’s future.

Sources: MSN India, BusinessWorld, NewsBytes, Economic Times

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