OYO (PRISM) files DRHP for ₹6,650 Cr IPO, earmarks 75% to slash ₹7,338 Cr debt

OYO, rebranded PRISM, filed an updated DRHP for a ₹6,650 Cr fresh issue, directing ₹4,987.5 Cr toward debt repayment. The chain turned profitable with ₹748 Cr PAT and ₹2,127 Cr EBITDA on FY25 revenue of ₹6,259 Cr, but 84% of revenue now comes from overseas as India revenue declines.

— Source publishedMon, 6 Jul, 2026, 06:00 IST·First seen Mon, 6 Jul, 2026, 06:15 IST·Source Inc42

What happened

OYO PRISM · OYO, rebranded PRISM, files updated DRHP for a ₹6,650 Cr fresh-issue IPO, using ~75% of proceeds to repay debt. Now profitable with ₹748 Cr PAT, but

Key facts

  • Fresh issue ₹6,650 Cr
  • 9MFY26 revenue ₹6,941 Cr
  • FY25 revenue ₹6,259 Cr
  • PAT ₹748 Cr
  • EBITDA ₹2,127 Cr
  • Debt ₹7,338 Cr
  • ₹4,987.5 Cr for debt repayment
  • 84% revenue outside India

Why this matters

The PRISM rebrand and offshore revenue dominance (84%) suggest OYO is repositioning as a global hospitality platform, opening the door to international consolidation or partnership targets even as its India franchise weakens.

What to watch

  • SEBI observations / DRHP approval timeline
  • Grey-market premium and anchor allocation demand
  • FY26 India revenue trajectory (stabilization vs continued decline)
  • Interest-cost reduction confirmation post-debt repayment
  • Offshore revenue FX sensitivity and geographic breakdown disclosures
  • Any downward revision from the last private valuation
  • OYO markets the profitability turnaround aggressively to anchor institutions on EBITDA/PAT rather than GMV
  • Anchor-book roadshows target global funds comfortable with offshore hospitality exposure
  • Rating agencies revise outlook upward post-deleveraging plan; lenders may pre-negotiate refinancing
  • SoftBank and early VCs signal partial exit intent, testing secondary appetite
  • Competitors (Treebo, FabHotels, hotel aggregators) reprice India expansion to exploit OYO's domestic softness

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