IPO-bound Oyo raises authorised share capital to Rs 900 crore

The development comes ahead of its much-anticipated IPO, for which DRHP is likely to be filed in the next few months. Sources said the move is a precursor to the initial public offering (IPO).

According to people in the know, Oyo has initiated discussion with investment banks including JP Morgan, Citi and Kotak Mahindra Capital to manage its public issue slated to raise between $1.2-1.5 billion at a valuation range of $14 billion-16 bn.

A company increases its authorised capital when it anticipates any further capital requirement or intends to go public and list its shares on the stock exchanges. According to the copy of the filing, Oyo’s board approved a resolution to increase its authorised share capital.