Hospitality technology firm Prism, the parent company of OYO, has submitted updated draft papers to market regulator Sebi for a proposed ₹6,650 crore initial public offering (IPO).
The IPO will not include an offer-for-sale (OFS) component, meaning existing investors—including SoftBank’s SVF India Holdings, founder Ritesh Agarwal, RA Hospitality Holdings, Microsoft, Airbnb, Khazanah, Lightspeed, Greenoaks Capital and Peak XV—will retain their stakes and will not sell any shares as part of the public offering.
Prism IPO details
According to the Updated Draft Red Herring Prospectus (UDRHP) filed on Tuesday, the IPO will consist of a fresh issue of equity shares worth up to ₹6,650 crore, marking the company’s latest bid to enter the public markets.
Prism may also raise up to ₹1,330 crore through a pre-IPO placement before filing its Red Herring Prospectus (RHP). If the placement is completed, the size of the fresh issue will be reduced by the amount raised.
The company intends to use ₹4,987.5 crore from the net proceeds to repay or prepay its outstanding borrowings, with the balance earmarked for general corporate purposes.
Prism had submitted its draft IPO papers via the confidential pre-filing route in December 2025. This mechanism enabled the company to keep key details of the proposed offering, including its issue size, confidential until a later stage.
The filing follows a significant improvement in the company’s financial performance during the first nine months of FY26.
Revenue from operations stood at ₹6,941 crore in the nine months ended December 31, 2025, surpassing the company’s full-year FY25 revenue of ₹6,259 crore. Meanwhile, profit after tax (PAT) stood at ₹748 crore during 9MFY26, compared with ₹245 crore for the entire FY25.
About the company
OYO’s parent company, Oravel Stays, was rebranded as Prism in September 2025.
Prism currently operates 43 brands across more than 35 countries. As of December 31, 2025, its global portfolio comprised 24,303 hotels, 124,668 homes, and 144,583 listings, including 14,937 storefronts in India.
The company’s India company-serviced hotel business also witnessed strong growth, with the number of storefronts rising to 1,573 by the end of December from 1,053 at the end of March 2025. Gross Booking Value (GBV) from these hotels reached ₹1,346.45 crore during the first nine months of FY26, compared with ₹818.23 crore in the whole of FY25.
Prism said its US operations have become a major growth engine following the acquisition of G6 Hospitality, the operator of the Motel 6 and Studio 6 brands. The US business generated a GBV of ₹12,022.51 crore during 9MFY26, up sharply from ₹4,712.83 crore in FY25, accounting for more than 52% of the company’s global GBV.
Disclaimer: This story is for educational purposes only. Please consult with an investment advisor before making any investment decisions.
