Oyo is ready to refile its draft papers with SEBI for its IPO. The company is almost at the final step of canceling its current DRHP papers with SEBI. They have also talked with SEBI for the same purpose. The company will raise $450 million from dollar bonds. These bonds will be issued at an interest rate between 9% and 10%. The company has decided to come back after the refinancing is complete. They will be working on their finances with proper attention. 

OYO Ready To Refile Its DRHP Papers With SEBI Will Continue Its IPO after Refinancing

OYO will focus on refinancing its sources to raise money further. The company was all set for its IPO, releasing several details. However, OYO recently announced that it will raise money through dollar bonds worth $450 million. The company will get an interest rate between 9-10%. Meanwhile, JP Morgan will be the leading banker in the process. It will help the company to accomplish its goal faster. OYO has already created its hype in the market. The delay in the IPO is making readers even more curious about it. 

Regarding its finances, OYO has been in debt of Rs. 1,620 Crores. It is a significant amount of debt for any company. Thus, OYO decided to use the buyback process, under which it brought back 30% of the term loan. Therefore, it finally reduced its outstanding loan balance, which is now said to be $450 million. They will be working on the refinancing at its full pace with JP Morgan. A lot of readers are also curious about the IPO’s release date. Let us have a look at its upcoming IPO details as well. Will OYO come back with its IPO or not?

The answer is YES. OYO is withdrawing its draft papers. The main reasons behind the withdrawal are refinancing and issuing dollar bonds. Thus, they will restructure and refile its draft papers after the refinancing is completed. According to the details, OYO has sent its application to withdraw draft papers. The repayment timeline will be extended with the refinancing to the next five years. After refinancing, the company will also benefit from a reduction in its interest rates on term loan b. The current interest rate is 14%, which can be reduced to 9-10%. OYO has been leading the hospitality tech company since 2012. The company’s founder, Ritesh Agarwal, has also created a significant place in the people’s hearts.

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