New Delhi. America’s tech giant Microsoft Corporation has invested Rs 37 crore ($ 5 million) in hospitality company OYO. OYO said in a regulatory filing that Microsoft has made this investment through equity shares and compulsory convertible cumulative preference shares on a private placement basis.
Oravel Stays Pvt. Ltd., which operates hotels under the name of OYO Rooms chain, at its Extraordinary General Meeting held on July 16, at its Extraordinary General Meeting held on a private placement basis, approved the issuance of equity shares of equivalent value of $4,971,650 and Series F2 Compulsory Convertible Cumulative Preference Shares to Microsoft Corporation. permission was granted.
In July, OYO announced TLB funding to raise Rs 4,920 crore from global institutional investors for debt repayment and other business investments. OYO Hotels & Homes is preparing to launch an initial public offering (IPO). For this, the company can file a draft red herring prospectus (DRHP) with the market regulator SEBI in September.
Japan’s SoftBank Group Corp holds a 46 per cent stake in Oyo. According to the Hurun Global Rich List 2020, Ritesh Agarwal, Founder and Chief Executive Officer (CEO) of Oyo is the world’s second youngest self-made billionaire. Oyo is one of the largest startup companies in the country. It was founded in 2013 by Ritesh Agarwal. It acts as an aggregator for budget hotels across the world.