OYO IPO Latest Update: Prism Files UDRHP, Valuation, Timeline & Key Investor Insights

Recent Highlights

After SEBI cleared PRISM’s confidential DRHP in early June, it has now filed its Updated Draft Red Herring Prospectus (UDRHP-I) with SEBI for a ₹6,650 crore IPO on 29th June 2026. The offer is entirely a fresh issue, with no offer-for-sale component, and the company may also raise ₹1,330 crore via a pre-IPO placement, which would reduce the size of the fresh issue if it succeeds. Shares are proposed to list on both the NSE and BSE.

Prism, the parent company of budget-hotel chain OYO, is going for the third attempt at a public listing. Let us first see some of the key information related to OYO:

• Founded in 2012 by Ritesh Agarwal
• Prism has expanded into a global hospitality tech conglomerate - with over 22,700 hotels and 1.2 lakh home listings across 35+ countries
• It operates multiple brands:
  • Hotels: OYO, Townhouse, Motel 6, Sunday, Palette, and others
  • Vacation Homes: Belvilla, DanCenter
  • Workspaces: Innov8, Weddingz

In recent years, the company has pivoted toward higher-end offerings (like launching 30+ “Sunday Hotels” in India, UAE, Saudi Arabia, SE Asia), and it rebranded globally as PRISM in 2025 to reflect this multi-brand, tech-driven strategy.

PRISM Financial Performance & Profit Turnaround

Importantly, Prism has turned its finances around. Let us see some of the key financial information:

• After years of losses, Prism reported its first full-year profit in FY2024 (PAT ₹229 crore)
• Growth continued in FY2025 as revenue reached ₹6,463 cr (+20% YoY) and PAT jumped 172% to ₹623 cr
• Prism’s Gross Booking Value (the total value of bookings) also surged (+54% to ₹16,436 cr in FY25)

Analysts and ratings agencies took note of this momentum. Moody’s projects FY26 EBITDA to exceed $280 million (about ₹2,496 cr).

In short, Prism/OYO is now profitable (12 straight profitable quarters) and growing, after a long “burn” phase.

On the back of this recovery, Prism’s board recently approved a ₹6,650 crore IPO.

Please note that shareholders approved the IPO in an Extraordinary General Meeting (EGM) held on Dec 20, 2025. A bonus‐share issue was also approved at 1:19, but the IPO is all-new shares.

Book Running Lead Managers

According to the latest reports, the book-running lead managers for the IPO are Axis Capital, Citigroup Global Markets India, Goldman Sachs (India) Securities, ICICI Securities, SBI Capital Markets, JM Financial, InCred Capital, and Intensive Fiscal Services. 

Timeline of OYO / Prism IPO Attempts

The following is the timeline of PRISM’s key events:

Prism Filed UDRHP With SEBI

On January 1, 2026, Prism filed its confidential draft red herring prospectus (DRHP) with SEBI for the ₹6,650 cr. Prism has now moved past the confidential stage, it filed a UDRHP with SEBI on 29th June 2026. The UDRHP reveals that its IPO structure consists of a complete offer for sale, out of which it may potentially raise ₹1,330 crore via a pre-IPO placement. The company also plans to use Rs 4,987.5 crore of the net IPO proceeds to repay or prepay borrowings, and the remaining funds are proposed to be used for general corporate purposes.

We have written a detailed article on OYO’s update in December 2025. Feel free to go through that article if you want to learn about it.

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Watch this short video on OYO IPO journey and understand the entire roller coaster journey.

Key Highlights From PRISM’s UDRHP

The following can be some of the important highlights in PRISM’s recent UDRHP with SEBI:

Robust Financials:

During the first nine months of FY26 (April–December 2025), Prism reported revenue from operations of ₹6,941 crore, with net profit nearly tripling to ₹748 crore.

Valuation Guidance:

The company is expected to have a targeted market cap of $7–8B with the proposed IPO.

Use of Proceeds:

It is proposed that ₹4,987.5 crore of the net proceeds will be used for repaying or prepaying borrowings, with the rest going toward general corporate purposes.

Growth and Assets:

Beyond numbers, investors will see Prism’s global footprint. The DRHP will describe its brands (OYO, Townhouse, Sunday, Motel 6 in the US, etc.) and recent acquisitions (like G6 Hospitality/Motel 6 in 2024).

Risks and Governance:

The DRHP will also list risk factors like market competition, regulatory changes, and the challenge of maintaining service quality across geographies. However, recent governance reforms (more transparent ESOP structures, leadership consolidation) are likely to reassure investors. 

In other words, investors can look for the Prism IPO within the next few months (as per company guidance). Once the UDRHP review is complete, a formal red herring and pricing will be announced.

 

Implications for OYO Investors

For potential IPO investors, Prism's financial turnaround is a key selling point - nine straight months of profitable growth in FY26 signal the business has moved past its earlier loss-making phase. A successful IPO could validate OYO's new multi-brand strategy and bring fresh capital to accelerate global expansion. 
 

Conclusion

Prism’s resumed IPO drive comes after demonstrating consistent profits and growth. With shareholder approval of a ₹6,650 cr IPO, a confidential DRHP filed and now the UDRHP filed in June, investors should expect a major mid-2026 listing. The DRHP will detail Prism’s financial turnaround, extensive hotel portfolio (including new premium brands), and use of proceeds (notably debt reduction). Investors can look forward to a well-capitalised OYO/Prism, aiming to sustain its booking growth, with SEBI clearance and market conditions determining the exact IPO timing.

Frequently Asked Questions

What is the valuation of OYO in 2025?

Based on media reports and IPO approvals, OYO parent Prism is targeting a valuation of around $7 - 8 billion (₹58,000–66,000 crore) for its upcoming IPO, implying an issue price of roughly ₹70 per share.

Why did Prism choose the confidential DRHP route for its IPO?

The confidential filing allows Prism to test investor appetite and receive SEBI feedback privately before making financial details public, reducing market pressure and giving flexibility on timing and valuation.

Is this Prism’s first IPO attempt?

No. This is Prism’s third IPO attempt. The company earlier filed IPO papers in 2021 and again in 2023, but withdrew due to market volatility and unfavourable conditions.

Is OYO profitable now?

Yes. Prism reported its first full-year profit in FY24 and further improved performance in FY25, with profit after tax rising sharply and revenue crossing ₹6,400 crore, marking a major turnaround.

When is the OYO (Prism) IPO expected to launch?

If SEBI approvals and market conditions remain favourable, the IPO is expected within the next 6 months, potentially in H1 2026.

Disclaimer: This blog has been written solely for informational and educational purposes and is based on information extracted from various publicly available sources. Since the DRHP filed by OYO’s parent Prism is confidential, certain details discussed are based on expectations, media reports, and market analysis and may not be 100% factually accurate or final.

The securities mentioned are only examples and do not constitute any recommendation or investment advice. This content is not intended to influence any individual or entity to make investment decisions. Readers are advised to conduct their own independent research, verify information from official filings and disclosures, and consult qualified financial advisors before making any investment decisions.

Investments in the securities market are subject to market risks. Please read all related documents carefully before investing.
 

Author: Diwakar Singh

Diwakar Kumar Singh is a BFSI specialist and finance writer with over 7 years of hands-on experience in financial research, content creation, and analysis.

 

A Gold Medalist in MBA (Marketing) from IMT, he combines deep analytical skills with practical insights gained from evaluating companies, IPOs, unlisted shares, financial ratios, and investment opportunities. Diwakar has personally analysed hundreds of financial instruments and market scenarios, which he uses to break down complex topics into clear, actionable advice.

He has authored numerous in-depth finance articles, published multiple books internationally, and contributed to research publications. His work focuses on helping everyday investors and readers make better-informed financial decisions through well-researched, evidence-based explanations that are always grounded in real-world application rather than theory alone.