OYO withdraws DRHP

    OYO withdraws DRHP, to refile IPO post refinancing
    Softbank-backed OYO is set to refile its much-awaited IPO as the global travel tech player is close to finalising its refinancing plans to raise up to $450 million via sale of dollar bonds, sources said. JP Morgan is the likely lead banker for the refinancing through the sale of dollar bonds at an estimated interest rate of 9 to 10 per cent per annum, a source said.Oyo Rooms IPO
    In preparation for the refinancing, OYO has already moved its application with markets regulator SEBI to withdraw its current DRHP. The company intends to refile an updated version of the DRHP, after the bond issuance. Oravel Stays Ltd, OYO’s parent company, had in November prepaid a significant chunk of its debt amounting to Rs 1,620 crore through a buyback process. The buyback involved repurchasing 30 per cent of its outstanding Term Loan B of $660 million. The move brought down its outstanding loan amount to around $450 million.

    A source closely involved in the company’s IPO plans told PTI, ”The refinancing will result in material changes to OYO’s financial statements. Hence as per existing regulations, it will need to revise its filings with the regulator”.

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    OYO withdraws DRHP