Prince Prism (now Oravel Stays) received approval from SEBI for its long-anticipated IPO of ₹6,650 crore. Structured entirely as a fresh issue, it will take place in the second half of 2026. An exact price band has not yet been announced; however, analysts suggest that the firm might fetch $7-8 billion as a value. OYO has postponed its IPO several times in the past because of market fluctuations.
The money raised will be used for debt repayment and will be allocated to prepayment and repayment of borrowings. The remaining capital will go for general corporate purposes. Prism may also look at pre-IPO placement of up to ₹1,330 crore before filing the final prospectus. OYO is going to go up for sale both on NSE and BSE and will be one of the most eagerly awaited hospitality tech IPOs of the year.
OYO has been doing quite well financially too. In the first nine months of FY26, the company reported revenues of ₹6,941 crore, compared to ₹6,259 crore in FY25. As a result, operating profit after tax rose to ₹748 crore, from ₹245 crore in FY25. The company is now the largest in the world with 43 brands in 35 countries with nearly 24,000 hotels and 124,000 homes. One of the key growth drivers has been its U.S. operations, which has been enhanced with the acquisition of G6 Hospitality, which owns Motel 6 and Studio 6.
But despite these good things, there are risks. Regulatory delays in the IPO timeline will most likely be because of the high debt load, and much of the money would go to repayment, not expansion. One of the threats is market volatility, as OYO has pulled out of the IPO in the past because of bad conditions. And although the bottom line is improving, sustainability is still being raised.
Investors will have access to a global hospitality brand with great recognition and strong financials for the IPO. However, the regulatory uncertainty and debt focus should be taken into account. Consulting financial advisors before subscribing will be important.
OYO IPO Key Details
- Entity: Prism (formerly Oravel Stays, parent of OYO)
- IPO Size: ₹6,650 crore (100% fresh issue, no Offer for Sale)
- Price Band: Yet to be announced (expected early July 2026)
- Valuation: $7–8 billion (₹59,000–67,000 crore)
- Listing: NSE & BSE, targeted for H2 2026
- Use of Funds:
- ₹4,987.5 crore earmarked for debt repayment/prepayment
- Remaining for general corporate purposes
- Pre‑IPO Placement: Possible ₹1,330 crore before final prospectus filing
- Promoter & Investors: Ritesh Agarwal, SoftBank, Microsoft, Airbnb, Peak XV, Lightspeed, RA Hospitality, among others
