OYO’s Third Stab At IPO, Funding Slips In H1 2026 & More

OYO Files UDRHP For ₹6,650 Cr IPO

OYO is making its third attempt at the Indian bourses. The hospitality unicorn’s parent PRISM has filed its updated DRHP with SEBI for an IPO, which will consist entirely of a fresh issue. Backed by multifold profit surge, will OYO finally cross the D-Street finish line?

OYO’s IPO Gameplan: The hospitality major has filed its papers for a ₹6,650 Cr fresh issue, with no OFS. Eyeing a valuation of up to $8 Bn via the listing, the hospitality giant plans to spend the biggest chunk of the fresh proceeds (₹4,987 Cr) for debt repayment or prepayment. It is also mulling a pre-IPO placement of up to ₹1,330 Cr.

The Profit Story: Unlike its previous two IPO attempts, OYO is entering the public markets fray this time with much stronger numbers. PRISM reported a net profit of ₹748 Cr in 9M FY26, up nearly 3X of its full-year FY25 profit, while operating revenue also rose 11% YoY to ₹6,941 Cr. 

The Global Shift: PRISM is steadily repositioning itself as a global hospitality platform rather than a pure India story. The company’s network now spans more than 24,000 hotels and 1.25 Lakh homes, while Europe and the US have become major growth engines. Overall, overseas operations contributed more than 83% of its top line in 9M FY26, while the home turf accounted for the remaining. 

The Legal Cloud: But the UDRHP also lays out the heavy legal troubles facing PRISM. The Zostel dispute remains unresolved, and any adverse outcome could force PRISM to transfer up to 7% of its shareholding. There are also risks tied to human trafficking lawsuits in the US, a tax dispute involving shareholder SoftBank and a looming antitrust penalty in India. 

As public investors deliberate whether the hospitality giant’s profit surge outweighs the legal baggage, here is all about the OYO parent, PRISM, taking another step towards its IPO…

From The Editor’s Desk

Startup Funding Slips In H1 2026

• According to Inc42’s latest Indian Tech Startup Funding Report, H1 2026, homegrown new-age tech ventures raised more than $5.2 Bn between January and June, down 9% from $5.7 Bn raised in H1 2025. However, the deal count rose 7% YoY to 501.
• Mega deals declined significantly during the period. Only four funding rounds worth $100 Mn or more materialised in H1 2026 as against 11 such deals in the year ago period. As a result, median ticket size remained flat YoY at $3 Mn. 
• On the sectoral front, AI topped funding charts. Startups in the sector bagged $676 Mn across 57 deals in H1 2026, zooming 317% YoY. The momentum came on the back of the IndiaAI Mission, strengthening investor confidence and indigenous AI development.

Flat June For E2W Sales 

• Electric two-wheeler (E2W) registrations continued to see tepid growth in June, with total sales rising 5% month-on-month to 1.81 Lakh units. Most OEMs reported a moderate MoM increase in registrations, while Ola Electric saw a decline.
• The Bhavish Aggarwal-led startup’s registrations fell nearly 1% to 15,096 units last month from 15,218 units in May. Meanwhile, legacy automakers TVS Motor and Bajaj Auto continued to dominate charts and sold 44,467 units and 40,576 units, respectively. 
• Going ahead, consumer interest is expected to increase in EVs as state governments step up efforts to promote electric mobility. Brokerage firm Nomura also said that E2W volumes are likely to grow 18% YoY going forward due to rising adoption.

The Indus Valley Bags $17 Mn

• The D2C kitchenware startup has raised around ₹161 Cr in its Series B round led by Gaja Capital to fuel product innovation, strengthen omnichannel distribution and deepen brand presence. 
• Founded in 2016, The Indus Valley claims to offer toxin-free, non-coated cookware and pressure cookers. The brand has raised more than $21 Mn to date, and claims to have crossed ₹200 Cr in annual revenue run rate.
• The fundraise comes as Indian consumers opt for healthier and more sustainable cookware, driven by rising awareness around product quality and safety. Overall, the homegrown kitchenware market is projected to cross the $11 Bn mark by 2033. 

India Inches Closer To ISM 2.0

• Moving a step closer towards launching the India Semiconductor Mission 2.0, the finance ministry’s expenditure finance panel has cleared a ₹1.25 Lakh Cr outlay for the initiative. The proposal will now be taken to the Union cabinet for the final nod.
• If approved, the ISM 2.0 outlay will be significantly higher than the ₹76,000 Cr allocated under the first phase of the mission. Since its launch in 2021, 12 semiconductor projects, with committed investments of ₹1.64 Lakh Cr, have been approved under the project.
• The development comes as India looks to reduce its dependence on imported chips and position itself as a trusted semiconductor manufacturing hub amid rising geopolitical tensions and an increasingly fragmented global technology supply chain.

Fibe Gears Up For ₹750 Cr IPO

• The lending tech startup has filed its draft IPO papers with SEBI for a public issue, which will comprise a fresh issue of up to ₹750 Cr and an OFS component of over 4 Cr shares. 
• Founded in 2015, Fibe is a digital consumer lending platform that offers personal loans and purpose-driven financing solutions. It has raised $300 Mn to date. As of March 2026, the startup had ₹8,602 Cr in AUM and had a presence across 10,387 touchpoints. 
• On the financial front, Fibe saw its net profit more than double to ₹257.5 Cr in FY26 from ₹113.7 Cr in the previous fiscal year. Meanwhile, operating revenue surged 31% to ₹1,584.6 Cr from ₹1,208.9 Cr in FY25.

Inc42 Markets

Inc42 Startup Spotlight

Can Bobakat Bubble Up India’s Tea Scene?

India’s beverage market is expanding, but premium consumers still have limited options beyond coffee and chai. While bubble tea has caught on, the category remains underdeveloped and has very few brands. Bobakat is trying to change this with a quality-first bubble tea experience.

Bubble Tea For Indians: Founded in 2024, Mumbai-based Bobakat is building a D2C beverage chain around bubble tea. Its menu includes specialised tea blends, authentic tapioca pearls, and fruit jellies, designed to make the category more appealing to Indian urban consumers.

A Premium Experience: Bobakat is not competing on novelty alone. The brand is betting on a mix of product quality, a clearly defined target audience and a carefully designed in-store experience. This approach gives the startup a more premium positioning in a market, where many beverage brands struggle to stand out beyond flavour variants and social media buzz.

Built For Scale: The D2C brand claims to have already served more than 10 Lakh customers and posted strong growth. It now plans to open 35 new stores by FY27, followed by 50 stores each in FY28 and FY29, signalling an aggressive retail expansion strategy.

Tapping into India’s bubble tea market, which is projected to become a $219 Mn opportunity by 2033, can Bobakat turn bubble tea into a scalable category?

Infographic Of The Day

Info Edge wants a front-row seat to India’s AI revolution. The investor behind Naukri and 99acres has deployed more than ₹1,003 Cr across AI and deeptech startups since 2020. Here is all about it…

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