Oyo parent PRISM files updated IPO papers, aims to raise ₹6,650 crore

Hospitality-tech firm plans a ₹6,650 crore fresh issue with no offer for sale, while most of the proceeds will be used to repay borrowings and strengthen its balance sheet

Global hospitality-tech firm PRISM, the parent of OYO, has filed its Updated Draft Red Herring Prospectus-I (UDRHP-I) with the Securities and Exchange Board of India (Sebi). The company had confidentially filed its draft red herring prospectus in December 2025.

 

The proposed initial public offering (IPO) comprises a fresh issue of shares worth up to ₹6,650 crore, with no offer for sale (OFS) by existing shareholders.

 

With the IPO structured entirely as a fresh issue, existing shareholders, including SoftBank's SVF India Holdings, founder Ritesh Agarwal and RA Hospitality Holdings, Microsoft, Airbnb, Khazanah, A1 Holdings, Star Virtue Investment, Global Ivy Ventures, Lightspeed, Greenoaks Capital and Peak XV, are not selling shares through the proposed public issue.

 

 

The company may also consider a pre-IPO placement of up to ₹1,330 crore before filing the Red Herring Prospectus (RHP) with the Registrar of Companies. If undertaken, the amount raised through the pre-IPO placement will be reduced from the fresh issue.

 

According to the UDRHP-I, the company proposes to use ₹4,987.5 crore from the net proceeds for the repayment or prepayment of borrowings. The balance will be used for general corporate purposes.

 

In the filing, PRISM describes itself as a technology-driven hospitality platform that has scaled into a global multi-brand platform across hotels, vacation homes, extended-stay properties and listings.

 

For the nine months ended December 31, 2025 (9MFY26), the company reported revenue from operations of ₹6,941 crore, surpassing its full-year FY25 revenue of ₹6,259 crore.

 

PRISM reported a profit after tax of ₹748 crore for 9MFY26, compared with ₹245 crore in FY25. Earnings before interest, tax, depreciation and amortisation (Ebitda) stood at ₹2,127 crore for 9MFY26, compared with ₹953 crore in FY25.

 

The company operates 43 brands across more than 35 countries. As of December 31, 2025, its network comprised 24,303 hotels, 124,668 homes and 144,583 listings, including 14,937 storefronts in India. Since its inception in 2012, the company has served 119.36 million unique customers.

 

In India, PRISM has been expanding its company-serviced hotel business, where it has greater operational involvement through leasing or management service arrangements. Its India company-serviced hotel storefronts increased to 1,573 as of December 31, 2025, from 1,053 as of March 31, 2025.

 

The gross booking value (GBV) of these properties stood at ₹1,346.45 crore for 9MFY26, about 65 per cent higher than the full-year FY25 figure of ₹818.23 crore. Company-serviced hotels contributed 49.29 per cent of PRISM's India GBV.

 

PRISM's US business has become one of its biggest growth drivers following the acquisition of G6 Hospitality, which operates the Motel 6 and Studio 6 brands in the US and Canada.

 

The US business reported a GBV of ₹12,022.51 crore for 9MFY26, about 155 per cent higher than the full-year FY25 figure of ₹4,712.83 crore. The US contributed 52.39 per cent of PRISM's global GBV during the nine-month period.

 

PRISM has also built scale in Europe through homes and listings. Its Europe homes and listings increased to 269,251 as of December 31, 2025, from 208,901 as of March 31, 2025.

 

The company's European homes and listings business includes brands such as Belvilla, DanCenter and CheckMyGuest. The filing said PRISM has captured less than 1 per cent of the European homes market.