OYO will resubmit updated draft IPO papers in mid-February

Oravel Stays Ltd, which operates travel tech company and brand OYO, said on Wednesday it will resubmit its draft application for public listing in the middle of next month. Earlier this month, capital markets regulator Sebi had asked the company to resubmit its initial public offering (IPO) draft documents with certain updates.

“We are working on updating all major sections simultaneously. Responsibilities are divided between different teams, with senior business leaders coordinating with the Book Running Lead Managers, mainly the IPO bankers, the lawyers and the accountants.

“We are committed to resubmitting the draft red herring prospectus (DRHP) in mid-February 2023, if not sooner,” a company spokesperson said.

The company said Sebi stated in its letter that “the disclosures in the current DRHP do not take into account the material changes/disclosures resulting from updated financial statements as filed through addenda leading to a revised disclosure period, which in turn leads to the need to update material updates in Risk Factors, Bid Price Basis, Open Litigation and other relevant sections of DRHP”.

OYO’s latest submission to Sebi was its updated financial results for the first half of fiscal year 2022-23.

The company had previously indicated that resubmission of the comprehensive document could take up to 2-3 months. In September 2021, OYO had filed preliminary documents with the Securities and Exchange Board of India (Sebi) for an IPO of Rs 8,430 crore.

The IPO launch was delayed due to the volatile market conditions at the time leading the company to prepare to settle for a lower valuation of around $7-8 billion instead of the $11 billion it initially targeted.

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(This story has not been edited by News18 staff and was published from a syndicated news agency feed)