Oyo to refile updated DRHP with Sebi by mid-Feb

Oyo had earlier indicated that the process of refiling the document could take up to two to three months.

ET reported on December 31 that Sebi had asked Oyo to update the draft IPO papers.

The company had filed its draft red herring prospectus (DRHP) for the IPO with Sebi in September 2021 and is aiming to raise Rs 8,430 crore. Oyo’s last submission to Sebi was the updated financial results of the first half of financial year 2022-23.

The regulator had subsequently asked Oyo to refile the DRHP, updating all the relevant sections such as risk factors, KPI’s, outstanding litigations, and basis for offer etc.

“We are keen on refiling the DRHP by the middle of February 2023, if not earlier,” an Oyo spokesperson said.

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“We are working on updating all key sections simultaneously. Responsibilities have been divided among different teams, with senior company leaders driving the collaboration with the book running lead managers, essentially the IPO bankers, the lawyers and the auditors,” the spokesperson added.The company refused to offer any estimation of the time it expects Sebi to take for approval, once the DRHP is filed.

However, a person familiar with the developments said the company hopes to get the approval by April this year.

Oyo had recently submitted through an addendum to the DRHP, the first half, FY 2022-23 financial numbers to Sebi citing that potential investors need to be made aware of the material uptick in its business performance since its IPO application in September 2021. It had reported its maiden positive adjusted EBITDA of Rs 63 crore, a 24% year-on-year increase in revenue and a 69% increase in monthly booking value (GBV per month) for its hotels in the first six months of financial year 2023.