PRISM files draft papers confidentially after shareholder clearance
RISM is looking to raise ₹6,650 crore through a fresh issue, with OYO’s valuation likely pegged between $5 and $7 billion
Consecutive profitable quarters, sharp revenue growth in Q1 FY26
Days after receiving shareholders’ nod for its third attempt for the market debut, hospitality unicorn OYO’s parent PRISM has filed draft documents for an initial public offering (IPO), according to The Economic Times report.
The company has submitted its draft red herring prospectus through the confidential filing route, the report said. The approach enables the company to limit public disclosure at this stage while retaining flexibility to revise its offering plans later.
1 December 2025
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The start-up is planning to raise ₹6,650 crore via fresh issue. The report added that OYO is expected to seek a valuation in the range of $5-7 billion, though the eventual figure may shift based on market conditions.
It is pertinent to note that when the company made its first attempt to list in 2021, it had been targeting a valuation of about $12 billion. However, the company withdrew the draft papers, citing market volatility.
Later, it pre-filed its DRHP but withdrew it in 2024 and chose to go for a private funding round for refinancing its term loan of around $1.2 billion it took in 2021.
In December, PRISM’s shareholders approved the ₹6,650 crore IPO via an extraordinary general meeting (EGM).
In addition, the shareholders also approved a bonus issue of shares in the ratio of 1:19, under which investors will receive one fully paid equity share for every 19 shares held, in addition to a separate 1:1 bonus issue that was sanctioned in September 2025.
Ratings agency Moody’s recently reaffirmed PRISM’s corporate family rating with a stable outlook and projected that the company’s EBITDA could more than double to about $280 million, or roughly ₹2,496 crore, in FY26.
Management has also highlighted recent profit momentum, with OYO reporting consecutive profitable quarters and projecting stronger earnings ahead.
The company posted a net profit of ₹244.8 crore in FY25, up 7% from ₹229.6 crore in its first profitable year in FY24. However, the company achieved profitability on the back of a deferred tax gain of ₹765.6 crore in FY25. The number stood at ₹51.3 crore in the previous fiscal.
The company said it posted a net profit exceeding ₹200 crore in the first quarter of FY26, while revenue surged 47% year-on-year to ₹2,019 crore. For the entire fiscal, it is targeting earnings of ₹800–1,000 crore, supported by the integration of its recent acquisitions.
