Oyo withdraws IPO application, opts for private funding at 70% valuation cut

SoftBank-backed hospitality company Oravel Stays, the parent company of Oyo Hotels and Homes, has withdrawn the draft prospectus filed with the Securities and Exchange Board of India (Sebi) for its initial public offering (IPO). The company is now in talks with investors for a new round of funding at a valuation as low as $2.3 billion, down over 74% from its peak valuation of $9 billion achieved in a funding from Microsoft in 2021, multiple people aware of the development said.