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Oyo founder Ritesh Agarwal’s investment vehicle has proposed pumping another $65.1 million into the hotel management startup, according to shareholder notifications reviewed by TechCrunch.
The investment, by Redsprig Innovation Partners, will value the SoftBank-backed company at $3.8 billion, according to terms shared in the extraordinary general meeting notice.
While this represents a 38% premium compared to Oyo’s last valuation of $2.3 billion – for which it received $175 million – the implied value remains well below its 2019 peak of $10 billion. (Oyo has raised more than $3.4 billion in equity and debt since its inception, according to Tracxn.)
Redsprig invested about $100 million in its recently concluded $175 million funding round.
It remains unclear who backed Redsprig and whether Agarwal has settled the $2 billion loan he took out in 2019 to buy back Oyo shares from Peak XV and Lightspeed India.
The hospitality group is preparing to make regulatory filings — for the third time — for an initial public offering within two months, according to a person familiar with the matter.
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