OYO’s Global Pivot: India Revenue Share Drops Below 12% Amid Massive US Expansion

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Prism, the parent company of global travel-tech firm OYO, has filed its Updated Draft Red Herring Prospectus-I with SEBI for a ₹6,650 crore initial public offering. The filing highlights a major structural evolution for the company: OYO now draws a staggering 84% of its operational revenue from international markets, leaving India to account for less than 12% of its total revenue mix. The United States has officially surpassed India to become the company’s single largest market.

This international revenue pivot is hindered by OYO’s aggressive expansion and consolidation strategy in the Western markets. The acquisition of G6 Hospitality brought the well-known Motel 6 and Studio 6 brands to the company’s portfolio, making its U.S. business a key growth driver. In the first 9 months of FY26, the US segment exceeded a Gross Booking Value of Rs. 12,022.51 crore, accounting for more than 52% of the company’s global GBV. And OYO’s European vacation homes and listings business grew significantly to 269,251 properties by the end of December 2025.

The unicorn, that rebranded from Oravel Stays to Prism in September 2025, is eyeing a sharp turnaround in profitability and scale financially. Prism posted operational revenues of ₹6,941 crore for the first nine months of FY26 ended December 31, 2025, which was more than its entire FY25 revenue of ₹6,259 crore. Net profits rose three times to ₹748 crore in the nine-month period, compared with post-tax profit of ₹245 crore in the last full fiscal year. The financial fortification prompted S&P Global Ratings to revise Prism’s outlook to ‘Positive’ from ‘Stable’ and affirmed its ‘B’ issuer credit rating.

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The upcoming public market debut is structured entirely as a primary capital raise, targeting a market valuation of $7 billion to $8 billion. The issue consists solely of a fresh issue of equity shares with absolutely no offer-for-sale component, meaning high-profile backers like SoftBank (the largest shareholder at 40.04%), founder Ritesh Agarwal (holding 26.71%), Microsoft, and Airbnb will not dilute their existing stakes. Prism plans to deploy ₹4,987.5 crore from the net proceeds to aggressively pay down or prepay its outstanding debt, with the remainder earmarked for general corporate purposes. The company may also consider a pre-IPO placement of up to ₹1,330 crore, which would scale down the fresh issue size accordingly.

Even as international territories dominate its balance sheet, OYO has continued to steadily scale up its footprint back home. In India, the company has focused closely on expanding its higher-margin, company-serviced hotel segments. The number of such premium domestic shopfronts rose to 1,573 in December 2025, from 1,053 in March of the same year. The hotel business serviced by the Indian company saw its Gross Booking Value increase to ₹1,346.45 crore in nine months of FY26 from ₹818.23 crore in FY25, due to the expansion of the network domestically.

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