News Post

Oyo raises nearly $175 Mn in Series G round

Entrackr · 1m

Hospitality major Oyo has raised Rs 1,457 crore (nearly $175 million) in a Series G round from a group of investors including InCred Wealth, J&A Partners, the family office of Mankind Pharma promoters and ASK Financial Holdings. According to a PTI report, the additional equity issuance was approved by 99.99% shareholders at an EGM held on August 8. Serial investor Ashish Kacholia has also invested through InCred. It’s worth noting that the funding round includes Rs 416 crore ($50 million) raised from InCred last month. The company was valued at $2.38 billion, and as per the above mentioned report, the valuation has remained unchanged after closing of the new tranche. In its previous filings, Oyo disclosed that the firm will use these proceeds for growth, global expansion (including acquisitions), and enhanced business plans. With this, Oyo’s valuation has recorded a sharp decline of 70% from $9.6 billion in August 2021, when it raised $5 million from US-based tech giant Microsoft. In May, Oyo’s founder Ritesh Aggarwal said that the firm posted its maiden annual net profit of Rs 100 crore in FY24. In FY23, its revenue from operations grew 14.3% to Rs 5,464 crore from Rs 4,871 crore in FY22. During the period, the firm cut down losses by 33.7% to Rs 1,287 crore. The firm is yet to file its audited financial for FY24. The Gurugram-based firm has stalled its plan to go public for some time. In May, it withdrew its draft papers (DRHP) for the second time in the wake of unfavorable conditions. The firm also said that it will refile the IPO papers after concluding a large funding round which is about to close after the latest fundraise.