PRISM, the parent company of travel and hospitality platform OYO, has received approval from the Securities and Exchange Board of India (SEBI) to launch its Initial Public Offering (IPO). The company plans to raise up to ₹6,650 crore through a fresh issue of shares, making it one of the most anticipated startup listings in India.
IPO to Support Expansion and Debt Reduction
The proposed IPO will be a completely fresh issue, which means the money raised will go directly to the company. PRISM plans to use the funds to reduce debt, support daily business operations, expand its services, and invest in future acquisitions. The company is aiming for a valuation of around $7 billion to $8 billion.
OYO Parent Company’s Journey
Founded by Ritesh Agarwal in 2012, OYO started as a budget hotel booking platform and later expanded into several international markets. In 2025, the parent company Oravel Stays changed its name to PRISM to reflect its wider business interests. However, OYO continues to remain the main brand used by customers.
Strong Focus on Premium Hotels
In recent years, PRISM has shifted its focus towards premium and company-managed hotels. These properties now contribute a large share of the company’s bookings and have performed better in terms of occupancy and customer satisfaction.
The company also uses artificial intelligence (AI) and machine learning tools to help hotel partners improve pricing, manage operations, and increase revenue.
Profitability Boosts Investor Confidence
PRISM’s IPO plans come after a major financial turnaround. The company reported its first annual profit in FY24 and continued to remain profitable in FY25. Revenue, bookings, and operating earnings have all grown strongly over the last two years. The latest quarterly results also showed a sharp increase in both revenue and profit.
Challenges Still Ahead
Although the company has shown strong growth, some challenges remain. PRISM still has a significant amount of debt, and the hospitality industry can be affected by economic slowdowns and changes in travel demand.
Even so, with SEBI approval now secured and business performance improving, PRISM’s IPO is expected to attract strong interest from investors and could become one of the biggest startup listings in India in the coming months.