Oyo-parent Prism secures Sebi’s nod to launch Rs 6,650-cr IPO
Prism, the parent firm of global travel tech unicorn Oyo, has secured clearance from markets regulator Sebi to raise Rs 6,650 crore through its initial public offering (IPO), people familiar with the development said on Tuesday.
The proposed public offering is expected to value the company at $7-8 billion, they added. Oyo’s parent entity Prism, filed the preliminary IPO papers with Sebi in December 2025 through the confidential route.
The filing followed shareholders’ approval at an Extraordinary General Meeting (EGM) held on December 20, 2025, where the company received consent to raise up to Rs 6,650 crore through a fresh issue of equity shares.
Prism opted for the confidential pre-filing route, which allows the company to engage with the Securities and Exchange Board of India (Sebi) for initial feedback on its draft document without it being publicly disclosed.
As the next step, the company is expected to file a public Updated Draft Red Herring Prospectus (UDRHP-1) in early July, which will be open for public comments for 21 days, people familiar with the development said.
They said that Prism is currently evaluating market conditions and broader listing timelines while preparing to file its UDRHP-1.
The development comes as Prism continues to strengthen its presence across its key markets-- India, the US, and Europe -- and increases its focus on self-operated hotels and the growth of premium brands such as Sunday Hotels & Pallette Hotels. Also, it recently entered the vacation homes segment in India with its European brand, DanCenter by opening villas for rent in Goa.
In India, Prism has also increased its presence in religious destinations to capitalize on the growth in spiritual travel. The company has appointed Axis Capital, Citibank, Goldman Sachs, ICICI Securities, SBI Caps, JM Financials, InCred Capital and Intensive Fiscal Services as the book-running lead managers for the IPO.
Oyo was founded by Ritesh Agarwal in 2012, who is Prism Group CEO. SoftBank remains one of its largest shareholders.
The company had previously attempted to go public. The hotel aggregator first filed for an IPO in 2021 to raise Rs 8,430 crore, submitting offer documents to Sebi targeting a $12 billion valuation. This was followed by a subsequent filing in 2023 that incorporated updated financial and operational disclosures.
However, the company later withdrew its IPO plans amid heightened global market volatility, which weighed on investor sentiment.
Recently, Prism appointed former Sebi Chairman Ajay Tyagi as an independent director on its board. His extensive experience in capital markets, corporate governance, and regulatory affairs is expected to strengthen Prism’s board as the company moves toward its IPO.
