SoftBank-backed Oyo’s parent quietly files for IPO, sources report

• Oyo posted 16% revenue growth to 62.53 billion rupees ($695.92 million) for FY2025, with net profit rising 6.6% to 2.45 billion rupees
• India emerged as the world's second-largest primary equity market in 2025, raising $21.6 billion through 352 deals, surpassing 2024's record $20.5 billion
• The filing follows other Indian tech companies like Zepto pursuing IPOs, indicating sustained investor appetite for Indian equity offerings

Oyo Hotels Parent Files for IPO in India

Prism, the parent company of SoftBank-backed Oyo Hotels, has confidentially filed for an initial public offering (IPO) in India, according to three sources familiar with the matter. The company is reportedly seeking a valuation of $7-8 billion, significantly lower than the $12 billion valuation targeted in its previous IPO attempt in 2021, which was subsequently withdrawn.

Financial Performance:

• FY2025 revenue rose 16% year-over-year to 62.53 billion rupees ($695.92 million)
• Net profit after exceptional items increased 6.6% to 2.45 billion rupees

The confidential filing allows Oyo to submit draft IPO papers to the Securities and Exchange Board of India (SEBI) for review without public disclosure until the company decides to proceed with the offering.

Market Context:

This filing adds to India's robust IPO pipeline, with the country emerging as the world's second-largest primary equity issuance market in 2025. As of December 18, India raised $21.6 billion through 352 deals, surpassing 2024's record of $20.5 billion. The move follows other recent confidential IPO filings, including quick commerce company Zepto.

Implications:

The lower valuation expectation compared to 2021 reflects more conservative market conditions and potentially tempered growth expectations for the hospitality sector. However, the company's profitable status and revenue growth may appeal to investors in India's strong IPO market. The successful listing would provide an exit opportunity for early investors including SoftBank and validate India's continued strength as a destination for public offerings.