OYO, a hospitality and travel-tech company, has written to stock market regulator Sebi, requesting updated and restated consolidated financial information in order to undertake its initial public offering (IPO) after September.
According to people familiar with the development, the company, which filed preliminary documents with Sebi in October last year to raise Rs 8,430 crore through an initial share offering, is reportedly willing to accept a lesser valuation of about USD 7-8 billion rather than the USD 11 billion it had hoped for.
According to them, OYO's decision to launch the IPO after the September quarter is primarily motivated by the expectation of improved financial performance and the market's current volatility.
Oravel Stays Ltd, which owns OYO, is thought to have asked Sebi for approval to incorporate restated financial results for the six-month periods ending September 30, 2022, September 30, 2021, and September 30, 2020 in a filing.
"Price oscillations in a newly listed stock cause public worry." Among such thoughts, it will be preferable to be able to demonstrate to investors that the business resurgence is real, that it is strong, and that it is leading to much increased bookings and perhaps the first evidence of a positive bottom line. Hence, OYO will most certainly wait a quarter," said a source familiar with the company's IPO plans.
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