Global tech investor SoftBank said to have reduced the value of its stake in IPO-bound hospitality major OYO by 20% to $2.7 billion on its books at the end of the June quarter.
According to Bloomberg, the Japanese investor compared OYO to peers with similar operations and reduced the valuation from the previous $3.4 billion. OYO was last valued at $9.6 billion in 2021, after Microsoft invested $5 million in the budget hotel chain. According to its draught red herring prospectus (DRHP), SoftBank owns nearly 47% of OYO, which translates to around $4.4 billion at the company’s 2021 valuation. According to Bloomberg, the hospitality giant is expecting approval from the Securities and Exchange Board of India for its much-anticipated public debut soon, and the startup is targeting a valuation of $5 billion for its initial public offering (IPO) early next year.