In a major step toward its Oyo IPO 2025, the hospitality giant’s parent company PRISM has approved an increase in its authorised share capital, signaling that the company is actively preparing for its much-awaited public listing.
This move is part of a broader restructuring to improve financial flexibility, reward existing shareholders, and enhance Oyo’s readiness for the Indian stock market.
Oyo’s Parent PRISM Approves Capital Expansion
According to regulatory filings, PRISM has increased its authorised share capital from ₹2,431.13 crore to ₹2,433.13 crore by issuing 20 lakh Compulsorily Convertible Preference Shares (CCPS) of ₹10 each.
This capital expansion follows approvals granted in August and September 2025 all part of Oyo’s strategic restructuring before filing its Draft Red Herring Prospectus (DRHP).
Industry experts suggest Oyo could target a valuation between USD 7–8 billion, positioning the Oyo IPO among the most anticipated listings in 2025.
Why the Share Capital Increase Matters for Oyo IPO 2025
The increase in authorised share capital allows PRISM to issue bonus CCPS to its existing shareholders. This move aligns with the company’s focus on:
- Simplifying its capital structure
- Preparing for the Oyo IPO
- Enhancing balance sheet strength
- Rewarding long-term investors
This corporate action strengthens Oyo’s financial foundation and positions it better in India’s unlisted and pre-IPO market.
Bonus Shares for Existing Oyo Shareholders
PRISM has also approved issuing bonus CCPS in the ratio of:
1 bonus CCPS for every 6,000 equity shares held
These CCPS will be:
- Non-redeemable
- Compulsorily convertible into equity shares
- Issued from free reserves and the securities premium account
This approach not only simplifies the capital structure but also rewards existing Oyo unlisted shares and shareholders, boosting sentiment in the unlisted shares market.
PRISM Awards Sweat Equity to Independent Directors
To strengthen governance before the IPO, PRISM will issue 47,46,768 equity shares each to Troy Matthew Alstead and William Steve Albrecht, both independent directors.
These shares, valued at ₹37.12 per share, are being offered as sweat equity to recognise their contribution to Oyo’s governance and IPO-readiness process. Each award carries a three-year lock-in period, ensuring long-term alignment with company performance.
Oyo IPO Filing in Final Stage
According to sources, Oyo’s IPO filing is in its final stages, with the company expected to submit its DRHP in November 2025.
The ongoing steps reflect Oyo’s broader objectives to:
- Strengthen corporate governance
- Clean up shareholding patterns
- Enhance investor confidence
- Simplify capital and ownership structures
What This Means for Investors and Unlisted Share Buyers
The latest corporate actions by PRISM highlight that Oyo’s IPO 2025 is approaching completion. Investors tracking the Oyo unlisted share price may find increased activity and valuation changes in the unlisted market ahead of the IPO.
If you’re interested in tracking or purchasing Oyo unlisted shares, visit Delisted Stocks India’s trusted source for unlisted and delisted share prices, IPO-bound companies, and pre-listing updates.
Disclaimer
This content is for educational and informational purposes only. It is not financial advice. Prices of unlisted and delisted shares are subject to market fluctuations. Always do independent research or consult an advisor before investing.
