Prism, the parent company of global travel-tech unicorn OYO, has received approval from the Securities and Exchange Board of India (Sebi) to launch its initial public offering (IPO). The market regulator has also cleared the public issues of Advanta Enterprises, Truhome Finance, Mehta Hitech Industries, and Veegaland Developers. Collectively, the five companies are looking to raise nearly ₹9,900 crore through the IPO route.

Prism had confidentially filed its draft IPO papers with Sebi in December 2025 after shareholders approved a proposal at an extraordinary general meeting (EGM) on December 20, 2025, authorising the company to raise up to ₹6,650 crore through a fresh issue of equity shares. The Ritesh Agarwal-led company is currently estimated to be valued at around $7-8 billion.

The parent of budget hospitality chain OYO opted for Sebi’s confidential pre-filing route, which allows companies to seek regulatory feedback on draft offer documents without making them publicly available during the initial stages of the review process.

In just over a decade, OYO has evolved from a bold teenage experiment into a global hospitality chain, navigating failed early models, intense investor scrutiny, a pandemic-induced collapse in travel and years of financial strain.

In September 2025, the company rebranded its parent entity as Prism to bring its rapidly expanding global portfolio under a unified corporate structure. The portfolio spans diverse hospitality and travel segments, including brands such as Motel 6, Belvilla, DanCenter, Studio 6, Innov8 and Weddingz.in.

In an exclusive interview with Fortune India earlier this year, OYO founder and CEO Ritesh Agarwal said the move signals an evolution aligned with shifting consumer behaviour, positioning Prism as a premium umbrella while retaining OYO’s brand strength.

“We started the business over a decade ago with a strong focus on providing clean and comfortable accommodation in the budget segment, where there was a clear gap in branded offerings. Over time, as customer aspirations and incomes have grown, we have seen strong demand for premium and mid-market travel experiences.”

Over five years, OYO clawed its way back from a staggering loss of ₹3,936.8 crore in FY21 to sustained profitability. Losses narrowed to ₹1,941.6 crore in FY22 and further to ₹1,286.5 crore in FY23, reflecting steady financial repair. By FY24, the company had returned to the black with a net profit of ₹229.6 crore. Momentum continued into FY25, when profit after tax rose 7% year-on-year (YoY) to ₹244.8 crore, supported by stronger revenue realisation, tighter cost management and operational restructuring undertaken over the past few years.

For FY25, OYO reported revenue of ₹6,325.9 crore, registering a 14% increase from ₹5,541.6 crore in FY24, driven by expansion in premium stays, international markets and improved pricing discipline. Total sales also rose 16% YoY to ₹6,252.8 crore, aided by stronger operating traction across business segments.

The turnaround was most visible in profitability indicators. EBITDA stood at ₹942.1 crore in FY25, maintaining positive momentum after turning profitable in FY24. Although EBITDA declined 26% year-on-year due to higher growth investments, it marked a significant improvement compared with losses recorded in earlier years.

This is not Prism’s first attempt to access the public markets. The latest confidential filing marks the SoftBank-backed hospitality major’s third bid for a stock market listing after two earlier efforts failed to materialise.

OYO first filed draft IPO papers in 2021, targeting a valuation of about $12 billion. However, the plans were shelved amid heightened market volatility following the Covid-19 pandemic and the geopolitical uncertainty triggered by the Russia-Ukraine conflict.

The company revived its listing ambitions in 2023 by submitting a revised draft red herring prospectus (DRHP) to Sebi and indicating its intention to go public that year. However, the issue did not proceed as planned, and OYO eventually withdrew its IPO application on May 17, 2024.