Hospitality Tech Firm Seeks ₹6,650 Crore Fresh Issue as Public Listing Moves Closer
PRISM, the parent company of hospitality platform OYO, has filed its Updated Draft Red Herring Prospectus (UDRHP-I) with the Securities and Exchange Board of India (SEBI), moving one step closer to its long-awaited initial public offering (IPO).
The updated filing follows SEBI’s approval earlier this month and marks another milestone in OYO’s multi-year journey toward becoming a publicly listed company.
According to the filing, the proposed IPO will comprise a fresh issue of equity shares worth up to ₹6,650 crore, with no Offer for Sale (OFS) component. The company may also undertake a pre-IPO placement of up to ₹1,330 crore, which would reduce the size of the fresh issue if completed.
The shares are proposed to be listed on both the National Stock Exchange (NSE) and the Bombay Stock Exchange (BSE).
No Stake Sale by Existing Shareholders
Since the IPO consists entirely of a fresh issue, existing investors will not dilute their holdings through the public offering.
Major shareholders including SoftBank, founder Ritesh Agarwal, Microsoft, Airbnb, Peak XV Partners, Lightspeed, Greenoaks, and Khazanah will continue to retain their stakes after the IPO.
As per the updated filing, SoftBank remains PRISM’s largest shareholder with a 40.04% stake, followed by Ritesh Agarwal, who holds a combined 26.71% stake through RA Hospitality Holdings and his personal shareholding.
Other notable shareholders include the Oravel Employee Welfare Trust (5.39%), Patient Capital (3.81%), Five Stars Capital (2.77%), Lightspeed (1.74%), Airbnb (1.22%), and Peak XV Partners (1.06%).
Funds to Reduce Debt and Strengthen Business
PRISM plans to utilise approximately ₹4,987.5 crore from the net proceeds to repay or prepay existing borrowings, while the remaining funds will be allocated toward general corporate purposes.
The IPO is being managed by a consortium of investment banks, including Axis Capital, Citigroup Global Markets India, Goldman Sachs (India) Securities, ICICI Securities, SBI Capital Markets, JM Financial, InCred Capital, and Intensive Fiscal Services.
The debt reduction plan is expected to strengthen the company’s balance sheet ahead of its next phase of expansion.
Profitability Improves as Global Business Expands
The updated filing comes alongside a significant improvement in PRISM’s financial performance.
During the first nine months of FY26, the company reported revenue from operations of ₹6,941 crore, while net profit nearly tripled to ₹748 crore, compared with ₹245 crore in FY25.
PRISM currently operates 43 hospitality brands across more than 35 countries. As of December 31, 2025, its network included 24,303 hotels, 124,668 homes, and 144,583 listings globally.
International markets continue to drive growth. Following the acquisition of G6 Hospitality, the United States contributed over 52% of the company’s global Gross Booking Value (GBV) during the nine-month period, while its European homes business also expanded significantly.
The company also noted that 67.6% of stays were booked through direct channels, supported by a combined 26.4 million loyalty members across OYO Wizard and My6.
With profitability improving and international operations expanding, PRISM is expected to target a valuation of approximately $7–8 billion, lower than its earlier 2021 listing attempt, as it prepares for one of India’s most closely watched IPOs.