Room rental company OYO will launch an IPO of Rs 6650 crore, parent company PRISM gets shareholder approval.

News Topical, Digital Desk : The parent company of travel platform OYO, has received shareholder approval to raise up to Rs 6,650 crore through a fresh issue of equity shares under an initial public offering (IPO). According to the report, shareholders of the travel tech platform approved the proposal at an extraordinary general meeting held on December 20, 2025.

At the EGM, shareholders approved the proposal to launch an IPO, which will allow the company to enter the public market at an appropriate time, depending on regulatory approvals and market conditions.

Oyo had changed the name of the parent company

This approval follows a corporate rebranding announced in September, when OYO changed its parent company's name from Oravel Stays to PRISM. The move was intended to bring the group's growing business portfolio under a single corporate identity. PRISM will operate as the holding company, while OYO will remain the flagship consumer brand in the budget and midscale travel segments.

How is Oyo's business doing?

In FY25, OYO reported higher revenue and profit, driven by increased marketing spend and a sharp increase in deferred tax gains. Net profit increased from ₹229.6 crore in the previous year to ₹244.8 crore in FY25, supported by deferred tax gains of ₹765.6 crore, compared to ₹51.3 crore in FY24. Operating revenue grew 16 percent year-on-year to ₹6,253 crore, compared to ₹5,388 crore in the previous year.

Moody's recently reaffirmed PRISM's corporate family rating with a stable outlook and expects the company's EBITDA to more than double to around Rs 2,496 crore in FY26, driven by expansion of premium storefronts and continued cost efficiencies.

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