summary: Hospitality giant OYO is fast-tracking its IPO plans to go public before October 2025 as founder Ritesh Agarwal faces a $383 million debt repayment deadline. The debt stems from a 2019 loan Agarwal took to increase his stake in OYO, backed by SoftBank’s Masayoshi Son as guarantor. If OYO lists within the year, creditors, including Mizuho Financial Group, may extend the repayment deadline to 2027, giving Agarwal more time to clear the dues. The IPO has now become crucial for both the company’s future and Agarwal’s personal finances.
Hospitality major OYO is reportedly accelerating its plans for an initial public offering (IPO), aiming to go public before October 2025 as founder Ritesh Agarwal faces a crucial debt repayment deadline of $383 million.
According to a report by Bloomberg, lenders — including Mizuho Financial Group Inc. — have urged Agarwal to settle the debt on time, raising the stakes for the company’s long-delayed public listing.
Sources familiar with the matter revealed that if OYO manages to successfully list within the next year, creditors may consider extending the repayment deadline until 2027. This would offer Agarwal much-needed breathing space, allowing him to address the financial obligations tied to his personal stake in the company.
The debt in question stems from 2019, when Agarwal secured a massive $2.2 billion loan to increase his ownership in OYO, tightening his grip over the hospitality startup. Notably, the loan was backed by a personal guarantee from SoftBank’s Masayoshi Son, further underlining the high-stakes nature of the financing arrangement.
OYO has been navigating challenging market conditions, regulatory hurdles, and multiple delays in its IPO plans. The company’s efforts to go public are now further intensified by the looming debt deadline, making 2025 a pivotal year for both OYO and its ambitious founder.
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Last Updated on Thursday, March 6, 2025 8:29 am by Sai Jyothi
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