Oyo Secures $174 Million in Series G Funding to Propel Future Growth

Oyo, the India-based budget hotel chain, has raised approximately $174 million in its Series G funding round, a substantial infusion of capital aimed at accelerating its growth and expansion efforts. The investment was backed by Patient Capital, led by Oyo’s founder Ritesh Agarwal, alongside InCred Wealth and J&A Partners.

In a recent meeting, Agarwal expressed his gratitude to investors, shareholders, and the broader Oyo community for their steadfast support. He highlighted the promising growth opportunities that this additional funding will facilitate, signaling a positive outlook for the company’s future endeavors.

The latest funding comes as Oyo continues to navigate its complex journey toward a public offering. The company initially filed its Draft Red Herring Prospectus with Sebi, the Indian stock exchange, in late 2021. Despite raising over $7 million in a Series F round earlier that year and securing a $660 million loan in July 2021, Oyo faced challenges with its IPO. The company withdrew its IPO filing in 2023, only to refile and withdraw again in May.

Despite these hurdles, Agarwal announced on X that Oyo had achieved a significant milestone with its “maiden net profitable financial year” and its eighth consecutive quarter of positive EBITDA. This financial progress underscores the company’s resilience and strategic adaptability in a competitive market.

The Series G funding is expected to provide Oyo with the necessary resources to enhance its operational capabilities and support its long-term strategic goals, reinforcing its position in the budget hotel sector and paving the way for future growth.