AH September 2025

14

India News

www.asianhospitality.com

September 2025 | Issue 24

YO is reportedly planning to file its

Draft Red Herring Prospectus in

November for an IPO targeting a

$7 to 8 billion valuation. The company will

present the proposal to its board next week.

Discussions with banking partners have

increased in recent weeks, with valuation

guidance at $7 to 8 billion, or 25 to 30 times

EBITDA, Press Trust of India reported

citing sources.

"While we cannot comment on any

timelines related to OYO's DRHP or IPO

plans, as these will be guided by OYO's

board of directors and remain at their

discretion, OYO continues to evaluate a

range of strategic options to drive value for

its stakeholders," a company spokesperson

told PTI.

In May, OYO delayed its third IPO

attempt due to opposition from its largest

shareholder, SoftBank, and market

volatility.

“Over the past few months, SoftBank

has engaged with banks such as Axis,

Citi, Goldman Sachs, ICICI, JM Financial

and Jefferies in London to assess market

sentiment. After assessing market feedback,

they are now confident in their decision,”

one person aware of the developments

was quoted as saying. “The board will be

approached next week as the company

firms up the details and finalises key

strategic elements."

SoftBank remains one of OYO's largest

shareholders. Insiders indicate the

filing will showcase OYO's first-quarter

financial performance, the report said. The

hospitality industry also saw double-digit

growth this quarter.

OYO is planning a new parent brand

identity to unify its portfolio. Earlier this

year, OYO CEO Ritesh Agarwal asked for

name suggestions for Oravel Stays Ltd

on social media. The chosen name may

become the group's new name. OYO is also

exploring a separate app for its premium

and mid-to-premium company-serviced

hotels, as the segment has grown across

India and global markets.

OYO added more than 150 hotels to its

U.S. portfolio in the first half of 2025 and

plans 150 more by year-end.

Report: OYO eyes $7-8B IPO

filing in November

It plans a new parent brand identity to unify its portfolio

restige Hospitality Ventures

recently received Securities

and Exchange Board of India

approval for a $325 million initial

public offering. The company

develops and operates luxury to upper

midscale hospitality assets and is part

of Bengaluru-based Prestige Group,

promoted by Prestige Estates Projects.

The offer comprises a $205 million

fresh issue of shares and an offer

for sale of up to $120 million by

promoters Prestige Estates Projects,

Economic Times reported.

Prestige Hospitality Ventures, led

by CEO Suresh Singaravelu, plans to

use $135 million from the fresh issue to

repay $48 million in debt incurred by

itself and its subsidiaries, Sai Chakra

Hotels and Northland Holding Co.,

while reinvesting $87 million into these

subsidiaries.

Additional funds will support

growth through acquisitions, strategic

initiatives and general corporate

purposes, the Times said.

As of December 2024, its portfolio

included seven hotels with 1,445

keys—1,255 operating and 190 under

renovation. It also has three ongoing

projects with 951 keys and nine planned

projects adding 1,558 rooms, making it

the largest hotel chain in South India.

The portfolio spans Bengaluru, Delhi-

NCR, Mumbai, Goa, Hyderabad and

Chennai, covering convention centers,

business hotels, extended stay

residences and golf resorts.

The company operates hotels

under several Marriott International

brands—St. Regis, Edition, W Hotels,

JW Marriott, Marriott Marquis,

Sheraton, Autograph Collection,

Tribute Portfolio, Moxy, Aloft and

Marriott Executive Apartments—as

well as Conrad by Hilton and Angsana

Resorts & Spa by Banyan Tree.

Marriott-managed keys account for

nine percent of the group’s portfolio,

the largest share under any brand.

Meanwhile, revenue from hospitality

services rose to $96 million in the

previous fiscal year, up from $77 million

in fiscal 2023.

Prestige is adding 2,509 rooms

through ongoing and upcoming projects,

including three ongoing projects with 951

keys and nine planned projects with 1,558

keys across seven Indian cities.

India’s Prestige secures $325M IPO approval

Marriott-managed keys make up 9 percent of the group’s portfolio

OYO plans to file its Draft Red Herring

Prospectus in November for a $7 to 8 billion IPO,

according to Press Trust of India.

India’s Prestige Hospitality Ventures recently secured

Sebi approval for a $325 million initial public offering.