OYO Rooms, operated by Oravel Stays Limited, is set to consider a 1:1 bonus share issue at its upcoming 14th Annual General Meeting (AGM) scheduled for Friday, September 26, 2025. The company has informed that, subject to shareholder approval, it will issue fully paid-up equity shares of Re 1 face value each in the ratio of one bonus share for every one share held. The record date for determining eligible shareholders is Tuesday, September 30, 2025.
As per the AGM notice, all eligible shareholders who appear in the company’s register of members or as beneficial owners as of Friday, August 29, 2025, will receive the annual report and AGM details. The company has fixed Friday, September 19, 2025, as the cut-off date for voting rights at the meeting. OYO also clarified that the proposed bonus shares will carry the same rights and privileges as existing shares, and will be governed by the company’s memorandum and articles of association.
In parallel with the bonus issue, OYO is moving closer to launching its long-awaited initial public offering (IPO). According to people familiar with the matter, the company plans to file its Draft Red Herring Prospectus (DRHP) in November 2025. The expected valuation of the IPO is in the range of USD 7–8 billion, translating to a share price of around Rs 70. Sources indicate that this valuation is based on a 25–30 times multiple of EBITDA, which suggests a strong investor outlook.
Preparations for the IPO have picked up pace in recent weeks. OYO’s major investor, SoftBank, has been actively involved in discussions with leading financial institutions such as Axis Capital, Citi, Goldman Sachs, ICICI Securities, JM Financial, and Jefferies in London. These meetings were aimed at understanding market sentiment and determining the best timing for the public issue. With positive feedback from the banks, OYO is now ready to take the plan to its board for final approval and to finalize key strategic details.
For investors, this is a critical period. Those holding shares as of the record date could benefit from the bonus issue. Meanwhile, the upcoming IPO could open new opportunities, especially if OYO successfully secures its targeted valuation.
Disclaimer: This article is based on publicly available information and reports from industry sources. All decisions regarding the bonus issue and IPO are subject to regulatory and board approvals. Investors are advised to consult their financial advisors before making any investment decisions.
