OYO Raises $660 Million To Repay Past Debts

According to Oyo Hotels and Homes, $660 million was raised by global institutional investors via the term loan financing (TLB) route. Gurugram-based unicorn Oyo Hotels and Homes will use the funds to repay past debts, strengthen it balance sheet, invest in product technology, and to help revive its COVID-hit company.

The term loan funding route is a tranche of senior secured syndicated credits from international institutional investors. Oyo was one of the first Indian startups to raise capital via the term loan funding route with the current round.

The proposed issuance or offer was oversubscribed 1.7 times. Oyo received commitments in excess of $1 billion from leading institutional investors around the world. Oyo stated in its statement that the deal was increased and increased by 10% to $660 millions due to strong interest from marquee investor.

“…delighted with the response to OYO’s maiden capital raise for TLB, which was oversubscribed worldwide by major institutional investors. We are grateful for their trust in OYO’s mission to create value for owners and managers of hotels and homes around the world,” stated Abhishek Gupta (Group Chief Financial Officer, OYO).

‘… Our two largest markets have shown profitability even with the smallest signs of industry recovery following the COVID-19 pandemic,” he said.

Dr. W. Steve Albrecht (a member of OYO’s Board and Chairman of its Audit Committee) said, “It’s heartening to see the strong interest in the company from the investor community, which has led OYO to become India’s first independent credit rating agency – Moody’s and Fitch,”

About OYO

Oyo was founded by Ritesh Agarwal in 2013. It is now a major multinational chain of hotels, homestays, and living space leased or franchised. Oyo started with just budget hotels. But, Oyo has grown to include vacation homes, hotels and rooms in various countries.

Read More

How To Become An SEO Expert in 2021

Can You See Who Viewed Your Instagram Video – Instagram Tips & Tricks