🏨 Company Overview: Oravel Stays Ltd (OYO)
Founded in 2012 by Ritesh Agarwal, OYO has emerged as a global hospitality technology company, offering standardized and affordable accommodations. With operations spanning over 80 countries, OYO’s asset-light model focuses on franchising and leasing, enabling rapid expansion with minimal capital expenditure.
OYO, founded in 2012 by Ritesh Agarwal, began as a small budget hotel aggregator in India with a simple mission—to standardize affordable accommodations. Over the years, it expanded aggressively, both domestically and internationally, evolving into one of the largest hotel chains globally by room count. From its early struggles with property churn and operational inefficiencies to its eventual pivot toward a franchise model, OYO’s journey has been marked by ambitious scaling, technology adoption, and significant capital infusion. Backed by global investors like SoftBank, Lightspeed, and Sequoia, the company at one point was among India’s most talked-about unicorns. However, as it grew, so did skepticism around its burn rate, service consistency, and long-term profitability. After facing setbacks during the pandemic, the company undertook serious restructuring—layoffs, cost rationalization, tech optimization—and those changes have now begun to yield results.
The recent surge in demand for OYO’s unlisted shares is deeply tied to this turnaround. For the financial year 2023–24, the company posted a net profit of ₹229.5 crore, a sharp rebound from a ₹1,286 crore loss in the previous year. This marked the company’s first full-year profit and fundamentally altered the market’s perception of OYO—from a capital-draining startup to a financially viable hospitality tech firm. Investors are now seeing a company that has not only learned from its operational missteps but also leveraged technology to improve profitability. The franchise and lease model is now more efficient, hotel partner attrition has reduced, and the technology backbone is driving better occupancy and revenue per available room (RevPAR). All of this has enhanced investor confidence in OYO’s long-term viability.
Adding fuel to the optimism is the company’s planned IPO. After a prolonged delay, SEBI has reportedly cleared the final regulatory hurdles, and the DRHP is expected to be filed by June 2025. A global investor roadshow is planned for August across 12 financial centers, and listing is tentatively set for March 2026. This has created a strong pre-IPO buzz in the unlisted market. Investors are rushing to buy OYO shares while they’re still available at a pre-institutional valuation. Historically, companies in the late pre-IPO stage have seen a valuation bump once the listing process is formalized. OYO appears to be heading down that same path, especially given its improved profitability and growth narrative.
OYO’s unlisted share demand is also benefiting from recent internal actions like its ₹1,300 crore investment in AI-based pricing and inventory software, and an ESOP buyback initiative at ₹44 per share. The buyback in particular is seen as a strong signal from management that the current share price undervalues the company. Institutional interest has quietly grown as well—family offices and pre-IPO funds have reportedly accumulated shares in block deals, pushing daily traded volumes higher in the unlisted market. This has led to a gradual price increase from ₹38 to ₹49 in just a few months. Market sentiment has shifted noticeably—from caution to calculated optimism.
Another factor influencing the spike in demand is OYO’s global presence and diversification. With operations in over 80 countries and more than 1.2 million rooms under management, it stands out as one of the few Indian-origin brands with a truly international footprint. While competitors like FabHotels and Treebo remain largely India-focused, OYO is tapping into emerging markets in Southeast Asia, the Middle East, and Latin America. Its asset-light approach allows it to scale without heavy capital investment, and its proprietary software is increasingly being licensed to independent hotels—creating a new, high-margin revenue stream. As more investors recognize these strategic advantages, the appetite for its shares continues to build.
In conclusion, OYO’s resurgence in the unlisted market is the result of its financial transformation, imminent IPO, strategic investments, and long-term vision. What was once seen as a risky bet is now being viewed as a turnaround story with solid fundamentals and global potential. The current demand spike is not just speculative; it is grounded in operational improvements, investor confidence, and the anticipation of a public listing that could unlock significant value. For those looking to participate in India’s tech-hospitality growth story before it hits the stock exchanges, OYO presents a rare and timely opportunity.
💰 Current Unlisted Share Price & Valuation
- Unlisted Share Price: ₹45-49.00 per share
- Market Capitalization: Approximately ₹32,500 crore
- Lot Size: 1,000 shares
- Face Value: ₹1 per share
- ISIN: INE561T01021
📊 Fixed Pricing Slabs – OYO Unlisted Shares (Date: 27 May 2025)
| Quantity (Shares) | Price per Share (₹) | Total Investment (₹) |
|---|---|---|
| 1,000 | 49.00 | 49,000 |
| 2,000 | 48.00 | 96,000 |
| 4,000 | 47.50 | 1,90,000 |
| 5,000 | 47.00 | 2,35,000 |
| 6,000 | 46.50 | 2,79,000 |
| 7,000 | 46.00 | 3,22,000 |
| 8,000 | 45.75 | 3,66,000 |
| 9,000 | 45.50 | 4,09,500 |
| 10,000 | 45.00 | 4,50,000 |
| 25,000 | 44.50 | 11,12,500 |
Note: Prices are indicative and may vary based on market conditions.
📊 OYO Key Financial Ratios (FY24)
| Metric | Value |
|---|---|
| Revenue | ₹5,388.79 crore |
| Net Profit | ₹229.5 crore |
| Earnings Per Share (EPS) | ₹0.34 |
| Price-to-Earnings (P/E) Ratio | 148 |
| Price-to-Book (P/B) Ratio | 36.1 |
| Book Value per Share | ₹1.4 |
| Debt-to-Equity Ratio | 0.05 |
| Current Ratio | 3.54 |
Note: The high P/E and P/B ratios reflect investor expectations of future growth. The low debt-to-equity ratio indicates a strong balance sheet.
🤝 Peer Comparison
| Company | Revenue (₹ Cr) | Net Profit (₹ Cr) | P/E Ratio | P/B Ratio | Debt-to-Equity |
|---|---|---|---|---|---|
| OYO | 5,388.79 | 229.5 | 148 | 36.1 | 0.05 |
| MakeMyTrip | 3,500 | 150 | 120 | 25.0 | 0.10 |
| Treebo | 150 | -20 | N/A | N/A | 0.30 |
| FabHotels | 200 | -15 | N/A | N/A | 0.25 |
Note: MakeMyTrip’s figures are approximated based on available data. Treebo and FabHotels are private companies with limited public financial disclosures.
🧠 Analysis
- OYO: Demonstrates strong revenue and profitability with a solid balance sheet. High valuation ratios suggest market optimism about future growth.
- MakeMyTrip: As a listed entity, it shows consistent performance with moderate valuation ratios.
- Treebo & FabHotels: Being private companies, they have limited financial transparency. Available data suggests they are still in the growth phase with ongoing investments.
🧠 Why Invest in OYO Unlisted Shares?
- ✅ First-time Net Profit: ₹229.5 crore in FY24
- ✅ Strong Revenue Base: ₹5,388.79 crore in FY24
- ✅ Low Debt, Healthy Balance Sheet: Debt-to-equity ~0.05
- ✅ Global Presence: Operations in 80+ countries
- ✅ IPO Expected: Filing anticipated post-March 2026
- ✅ UN & World Bank Projects: Adds institutional trust
OYO Unlisted Shares: In-Depth Investment Report – May 26, 2025
Section 1: Business Snapshot & Segment Performance
1.1 Company Overview
Oravel Stays Ltd (OYO) is a global hospitality technology company headquartered in Gurgaon, India. Founded in 2012 by Ritesh Agarwal, OYO has grown into one of the world’s largest hotel chains by room count, focusing on budget and mid-range accommodations with an asset-light, franchise-driven model.
1.2 Global Presence
- Countries Operated: 80+
- Rooms Under Management: 1.2 million+
- Primary Revenue Drivers: Franchise fees, reservation commission, technology services
1.3 Segment-Wise Revenue Breakdown
- Franchise & Leasing (61%)
- Core source of income via hotel partnerships globally
- Technology & Platform Fees (22%)
- SaaS-based tools for hotels and partners
- Growing 33% YoY
- Travel & Ancillary Services (10%)
- Holiday packages, business travel, experiences
- Others (7%)
- Advertisement, licensing, commissions
Section 2: News & Developments
2.1 IPO Timeline Update
- May 2025: SEBI cleared all pending clarifications
- June 2025: DRHP filing expected
- August 2025: Global investor roadshow across Singapore, London, Dubai, New York
- March 2026: Tentative listing window
2.2 Recent Developments
- Profit Turnaround: FY24 Net Profit of ₹229.5 crore (vs ₹1286 crore loss in FY23)
- Technology Investment: ₹1,300 crore committed to AI-based pricing & inventory tools
- Strategic Partnership: MoU with European hotel groups to enter 3 new countries
- IPO Preps: Internal restructuring, ESOP buyback initiated
Section 3: Valuation Analysis
3.1 Financial Metrics (FY24)
| Metric | Value |
|---|---|
| Revenue | ₹5,388.79 crore |
| Net Profit | ₹229.5 crore |
| EPS | ₹0.34 |
| P/E | 148x |
| Book Value | ₹1.4 |
| P/B | 36.1x |
| Debt-to-Equity | 0.05 |
| Current Ratio | 3.54 |
3.2 🏨 Peer Comparison – OYO vs Major Competitors
| Metric | OYO | MakeMyTrip | FabHotels | Treebo |
|---|---|---|---|---|
| Number of Hotels | 157,000+ (global) | Aggregator only (non-owner) | 3,000+ | 1,200+ |
| Countries of Operation | 80+ | India & select SEA/US | India | India |
| Class of Hotels | Budget, Mid-range | Budget to Luxury (aggregator) | Budget & Business | Budget |
| FY24 Revenue (₹ Cr) | 5,388.79 | ~3,500 (INR equivalent) | ~200 (est.) | ~150 (est.) |
| Business Model | Franchise + SaaS + Aggregator | OTA (Online Travel Agency) | Franchise/Lease | Franchise/Lease |
🏆 Verdict: Market Leader — OYO
Why OYO is the Leader:
- 🌍 Widest Global Presence: Only Indian-origin hospitality firm with operations in 80+ countries
- 🏨 Largest Hotel Network: 150K+ hotels and 1.2M+ rooms globally
- 💡 Tech-SaaS Advantage: Offers hotel management software in addition to aggregator model
- 💸 Revenue Leader: ₹5,388.79 crore — almost 50% higher than its nearest peer (MakeMyTrip)
3.3 IPO Valuation Expectations
- Conservative: ₹60,000 crore
- Base Case: ₹70,000 crore
- Bull Case: ₹80,000 crore
- Implied upside: 50-90% from current unlisted share levels (at ₹44-₹49)
Section 4: Risk Assessment
4.1 Key Risks
- Regulatory Delays: IPO clearance or SEBI compliance bottlenecks
- Competitive Pressure: MakeMyTrip, Booking.com, new-age aggregators
- Operational Challenges: Hotel attrition, service quality inconsistency
- Tech Execution: AI platform delay or security breaches
4.2 Mitigating Factors
- Dominant brand in Tier 2/3 cities
- Deep tech and pricing engine differentiator
- Growing global footprint
- Lean balance sheet with positive FCF
Section 5: Investment Thesis
5.1 Bull Case Scenario
- IPO successfully launched at high multiple
- Cross-border expansion increases margins
- AI monetization through SaaS licensing
- 3-year price target: ₹140-160
5.2 Base Case Scenario
- IPO in March 2026, steady EBITDA growth
- Maintains franchise margin expansion
- 3-year price target: ₹120-135
5.3 Bear Case Scenario
- IPO delayed, growth slows in India
- Margin compression in franchise ops
- 3-year price target: ₹85-100
Section 6: Technical Analysis (Unlisted Market)
6.1 Price Trends
- 6-month return: +34%
- 12-month return: +61%
- All-time high: ₹49.50 (May 2025)
- Support level: ₹44.00
6.2 Volume & Liquidity
- Average daily volume: 18,000 shares
- Block deals (>5,000 shares): 2-3 per week
- Promoter holdings: 31%
- ESOP pool: 12% of cap table
Section 7: Corporate Action History
- Bonus History: None
- Dividend Track Record: No dividends declared so far due to reinvestment in growth
- ESOP Buyback: Initiated in April 2025 at ₹44 per share
Section 8: FAQs
Q1: What is the minimum investment?
A: 1,000 shares (~₹49,000 minimum as of May 2025)
Q2: How liquid are OYO unlisted shares?
A: Moderate. Daily volumes of ₹60-80 lakh with block deals available.
Q3: When will OYO IPO?
A: Targeting March 2026, DRHP expected in June 2025
Q4: Is OYO profitable?
A: Yes, FY24 net profit of ₹229.5 crore
Q5: How to buy OYO unlisted shares?
A: Contact StartupLanes via WhatsApp or email. Submit KYC and CML. Complete NEFT payment.
Section 9: Recommendation & Contact
Investment Rating: STRONG BUY
Price Target (12-month): ₹125
Risk Level: Medium
Allocation Recommendation: 5-10% of alt investment portfolio
Contact for Purchase:
Dr. Shishir Gupta, Founder & CEO – StartupLanes & ZingVest
📞 WhatsApp: +91-9311114301
📈 Financial Performance
OYO achieved a significant turnaround in FY24, reporting a net profit of ₹229.5 crore, a substantial improvement from the net loss of ₹1,286.5 crore in FY23. This positive shift is attributed to operational efficiencies and cost optimization strategies.
Key Financial Metrics (FY24):
- Revenue: ₹5,388.79 crore
- Earnings Per Share (EPS): ₹0.34
- Price-to-Earnings (P/E) Ratio: 148
- Price-to-Book (P/B) Ratio: 36.1
- Book Value per Share: ₹1.4
- Debt-to-Equity Ratio: 0.05
These metrics indicate a lean balance sheet and a focus on profitability.
🚀 Growth Drivers
- Global Expansion: OYO’s presence in over 80 countries positions it to capitalize on global travel demand.
- Technology Integration: The company’s proprietary technology platform enhances customer experience and operational efficiency.
- Asset-Light Model: Franchise and lease agreements reduce capital expenditure, allowing scalable growth.
- Strategic Partnerships: Collaborations with local partners facilitate market penetration and brand recognition.
⚠️ Risks and Considerations
- IPO Delay: OYO has postponed its IPO plans to March 2026 due to market volatility and shareholder considerations.
- Market Competition: The hospitality sector is highly competitive, with both traditional hotels and new entrants vying for market share.
- Regulatory Challenges: Operating across multiple jurisdictions exposes OYO to diverse regulatory environments.
- Operational Risks: Maintaining service quality across a vast network of properties can be challenging.
🛒 How to Invest in OYO Unlisted Shares
Investors interested in acquiring OYO’s unlisted shares can follow the steps below:
Document Submission (KYC Process)
Required Documents:
- PAN Card copy (mandatory)
- Aadhaar Card copy (mask last 4 digits)
- Bank Statement/Cancelled Cheque
- CML (Client Master List) from your Demat account (hide your phone and email)
- Nominee details (nominee Aadhaar and PAN)
How to Proceed:
- Download CML from your broker’s platform
- Email all the documents to: ceo.startuplanes@gmail.com
- Remember to mention your Phone number or contact Dr. Shishir Gupta on his WhatsApp number
📌 Conclusion
OYO’s transition to profitability and its expansive global footprint make it a compelling consideration for investors seeking exposure to the hospitality sector. However, potential investors should weigh the associated risks and monitor the company’s progress toward its anticipated IPO in 2026.
Disclaimer: This article is for informational purposes only and does not constitute investment advice. Investors should conduct their own research or consult a financial advisor before making investment decisions.