BENGALURU Reuters - SoftBank Group-backed Indian hospitality startup Oyo Hotels and Rooms is expected to file for an initial public offering IPO next week to raise around $1 billion, the Economic Times reported citing bank sources.
The listing plan by the hotel aggregator follows a stellar July debut by food delivery company Zomato Ltd.
Paytm and IPO firms TPG and Berkshire Hathaway Inc. both are involved in the U.S. New York IPO scene. SoftBank, which is also backing Ola, is set to enter markets.
The Oyo IPO, tentatively pegged between $1 billion and $1.2 billion, will consist of a fresh issue of shares and an offer for sale from existing shareholders, ET reported https: bit.ly 39 rgVWu.
The startup, in which SoftBank shares a 46% stake and is one of its biggest bets, has endured months of layoffs, cost cuts and losses during the global health crisis.
Its founder and Chief Executive Ritesh Agarwal had said in July that business was likely to return to levels seen before the second wave of COVID - 19 infections in India and grow from there Last month, Oyo received a $5 million investment from Microsoft Corp.