Oyo Parent Prism Secures Shareholder Approval for ₹6,650 Crore IPO

As per The Economic Times report, Oyo's parent entity, Prism, has received formal approval from its shareholders to initiate an initial public offering (IPO) to raise up to ₹6,650 crore.  

The development was confirmed during an Extraordinary General Meeting (EGM) held on December 20, 2025, which also sanctioned a bonus share issuance. 

Shareholder Nod for ₹6,650 Crore IPO and Bonus Share Approval 

Prism’s proposal to raise ₹6,650 crore through a fresh issue of equity shares has been approved by an overwhelming majority of shareholders at the EGM. The plan will proceed subject to necessary regulatory approvals and prevailing market conditions. 

Alongside this, shareholders approved the issue of 1 bonus share for every 19 existing equity shares. The record date for eligibility was fixed as December 5, 2025. 

Strong Financial Indicators in Recent Quarters 

In an internal communication shared in September 2025, Prism’s founder Ritesh Agarwal reported that Oyo had achieved profit after tax (PAT) of over ₹200 crore for Q1 FY26, compared to ₹87 crore in Q1 FY25. This reflected more than a 2x growth year-on-year. 

Revenue rose 47% year-on-year, touching ₹2,019 crore, up from ₹1,371 crore in the same quarter of FY25. Gross Booking Value (GBV) recorded a 144% increase, reaching ₹7,227 crore in Q1 FY26 versus ₹2,966 crore in Q1 FY25. 

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Key Drivers Behind Performance Growth 

Agarwal attributed the growth to consistent hotel openings, improved same-store performance, room utilisation, and increased focus on premium brands such as Townhouse and Sunday hotels.  

Cost discipline and customer experience focus also contributed to profitability. This was the second consecutive year that the company reported PAT-positive results. 

Conclusion 

The shareholder approval marks a significant preparatory milestone for Prism’s public listing plans. Coupled with improved financial metrics and strong shareholder backing, Prism is set for the next stage in its capital market journey. 

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