Oyo parent Prism Hotels and Resorts has filed its updated draft red herring prospectus (UDRHP) with the Securities and Exchange Board of India (SEBI), moving a step closer to its long-awaited stock market debut.

The proposed IPO comprises a fresh issue of equity shares worth up to Rs 6,650 crore, with no offer for sale by existing shareholders. The company may also undertake a pre-IPO placement of up to Rs 1,330 crore before filing its red herring prospectus (RHP). If completed, the amount raised through the pre-IPO round will be deducted from the size of the fresh issue.

Earlier this month, Prism received Sebi's approval for the proposed IPO, as first reported by Moneycontrol. The company had confidentially filed its draft papers in December 2025 after securing shareholder approval to raise up to Rs 6,650 crore through a fresh issue. Moneycontrol had also reported that the company was targeting a valuation of around $7-8 billion, lower than the roughly $12 billion valuation it had sought during its aborted 2021 listing attempt.

According to the UDRHP, the company plans to use Rs 4,987.5 crore from the proceeds to repay or prepay borrowings, while the remaining funds will be used for general corporate purposes.

The IPO is structured entirely as a fresh issue, with marquee investors including SoftBank's SVF India Holdings, Microsoft, Airbnb, Peak XV Partners, Lightspeed, RA Hospitality Holdings, Global Ivy Ventures, InCred and others not selling any shares.

For the first nine months of FY26, Prism reported revenue from operations of Rs 6,941 crore, up about 11 percent from Rs 6,259 crore in FY25. Profit after tax stood at Rs 748 crore, compared with Rs 245 crore in the previous fiscal year.

EBITDA more than doubled to Rs 2,127 crore from Rs 953 crore a year earlier, while EBITDA excluding exceptional items, share-based payment expenses and other income rose to Rs 1,968 crore.

The company said it operated 243,303 hotels and 144,583 homes globally as of December 31, 2025, with 14,937 company-serviced storefronts in India. Company-serviced hotel storefronts increased to 1,573 at the end of December from 1,053 nine months earlier, contributing nearly half of the company's India gross booking value (GBV).