Oravel Stays Limited, OYO’s parent branded PRISM, is weighing an Indian IPO fresh issue of up to ₹3,350 crore, below its June debt allocation, Press Trust of India and The Economic Times reported.
The proposed ceiling is about 49.6% below the ₹6,650 crore maximum in the company’s June draft filed with the Securities and Exchange Board of India (SEBI). The filing proposed newly issued shares only, with no offer for sale by current shareholders.
PTI’s sources linked the smaller target to cash generated by the business and a reduced funding requirement. Sources cited separately by The Economic Times also pointed to an improved balance sheet. PTI reported that most proceeds from the smaller issue would still go toward repaying or prepaying borrowings. One person familiar with the plan told PTI that the company expected to repay residual debt over two to three years using business cash flow.
The June draft allocated ₹4,987.5 crore of net proceeds to Oravel Stays Singapore Pte. Ltd. for repayment or prepayment of certain borrowings and related interest and penalties. That amount exceeds the reported new-issue ceiling by ₹1,637.5 crore. Neither outlet reported a replacement allocation, so the June figure cannot carry over unchanged under the reported smaller plan.
The filing describes a hospitality platform that includes OYO, Motel 6 and other hotel and vacation-home brands. It counted 293,554 storefronts across more than 35 countries as of Dec. 31, 2025.
Moody’s Ratings affirmed Oravel Stays Limited’s B2 corporate family rating on Oct. 15 and changed its outlook to positive; the rating itself was not raised. The June draft did not list opening or closing dates for the IPO.
