SoftBank cuts valuation of IPO-bound OYO to $2.3 bn

Days after hotel aggregator unicorn OYO filed fresh financial documents with the Securities and Exchange Board of India (Sebi) for its IPO, SoftBank cuts the internal valuation of Ritesh Agarwal-firm to $2.7 billion.

SoftBank is the largest shareholder and holds nearly 47% stake in OYO.

The Bloomberg report also said that the hospitality giant is expecting an approval from the Securities and Exchange Board of India soon for its much-awaited public debut, and the startup is eyeing a valuation of $5 Bn for its initial public offering (IPO) early next year.

According to a report, Oyo in a statement said that it was confident that its valuation shouldn’t have market down given its recovering business performance.

The lodging firm had reached a valuation of $10 billion in a 2019 funding round.

Meanwhile, Oyo’s deliberations about its IPO aren’t final and its plans could still change, depending on market conditions.