OYO raises Rs 1,457 crore from investors in Series G funding round

The investment is being made through compulsory preference shares aggregating to Rs 29 crore each, which is in line with the valuation achieved through the recent Series G capital raise.

2 minutes of reading Last update: August 11, 2024 | 12:59 PM IST

OYO parent company Oravel Stays Ltd has raised Rs 1,457 crore from a consortium of investors in its latest round of funding, sources said.

This fundraise completes its Series G funding round. The unicorn, which is set to go public, had earlier raised nearly Rs 1,040 crore and Rs 416.85 crore in the same round.

According to various documents obtained by PTI, the additional share issue was approved by 99.99 percent of shareholders at the Extraordinary General Meeting of Shareholders held on August 8.

The capital will be used to support OYO’s growth and global expansion plans, sources said.

The additional amount of capital raised values the company at the same amount, $2.4 billion, as the first tranche of the Series G round awarded to InCred in July, one of the sources said.

The investment is being made through compulsory preference shares aggregating to Rs 29 crore each, which is in line with the valuation achieved through the recent Series G capital raise.

The funding round was participated in by InCred Wealth, which led the last fundraising, as well as J&A Partners, the family office of the promoters of Mankind Pharma and ASK Financial Holdings.

InCred will be issued 2,62,84,483 shares, J&A Partners 4,13,79,310 shares, ASK Financial 48,27,586 shares and Patient Capital Investments Pte Ltd 28,62,06,897 shares.

The total number of additional shares to be issued is 35,86,98,276 at a price of Rs 29 per share.

This would mean that InCred will invest around Rs 76 crore, in addition to the Rs 416.85 crore it invested recently. Serial investor Ashish Kacholia also invests through InCred.

Besides, Patient Capital is investing Rs 830 crore, J&A Partners Rs 120 crore and ASK Rs 14 crore. The Mankind Pharma family is investing through its family firm J&A Partners, sources said.

During the EGM, the shareholders also approved increase in the share capital of the company from Rs 13,41,13,59,300 to Rs 16,31,13,59,300.

The decision to appoint Sumer Juneja, Managing Partner and Head of EMEA and India at SoftBank Investment Advisors, as a non-executive director on the board of Oravel was also taken at the EGM and approved by 99.99 percent of votes.

Sumer will join Oravel’s board as a Softbank Vision Fund nominee.

(Only the headline and image of the report may have been edited by the Business Standard team; the rest of the content is automatically generated from a syndicated feed.)

First published: August 11, 2024 | 12:59 PM IST