<p>Microsoft Corp has invested $5 million in Oyo, according to a regulatory filing, ahead of the hotel chain's plan to go public.</p>.<p>Oravel Stays Pvt Ltd (Oyo) approved on July 16 the issue of equity shares and convertible cumulative preference shares amounting to rupee equivalent of $5 million to Microsoft in a private placement, according to a filing by Oyo with the Registrar of Companies.</p>.<p>Last month, a source familiar with the matter had told <em>Reuters</em> that Microsoft was in advanced talks to invest in Oyo at a $9 billion valuation.</p>.<p>The hotel aggregator, in which Japanese conglomerate SoftBank owns a 46 per cent stake, endured months of layoffs, cost cuts and losses during the Covid-19 pandemic.</p>.<p>But with easing travel curbs and increasing vaccinations, travel demand is slowly recovering in India, with local tourism attractions witnessing a higher traffic.</p>.<p>In early July, Oyo's founder and chief executive officer, Ritesh Agarwal, said the firm would consider a potential public offering, but did not provide a timeline.</p>.<p>India is currently witnessing an IPO frenzy. In July, food-delivery firm Zomato saw a stellar debut. Berkshire Hathaway Inc-backed Paytm and ride-hailing firm Ola, which is also backed by SoftBank, are among other Indian startups looking to enter markets.</p>.<p>Last week, a financial news website reported that Oyo had shortlisted JP Morgan, Kotak Mahindra Capital and Citi for a more than $1.2 billion initial share sale. Oyo did not respond to a request for comment on the report.</p>
<p>Microsoft Corp has invested $5 million in Oyo, according to a regulatory filing, ahead of the hotel chain's plan to go public.</p>.<p>Oravel Stays Pvt Ltd (Oyo) approved on July 16 the issue of equity shares and convertible cumulative preference shares amounting to rupee equivalent of $5 million to Microsoft in a private placement, according to a filing by Oyo with the Registrar of Companies.</p>.<p>Last month, a source familiar with the matter had told <em>Reuters</em> that Microsoft was in advanced talks to invest in Oyo at a $9 billion valuation.</p>.<p>The hotel aggregator, in which Japanese conglomerate SoftBank owns a 46 per cent stake, endured months of layoffs, cost cuts and losses during the Covid-19 pandemic.</p>.<p>But with easing travel curbs and increasing vaccinations, travel demand is slowly recovering in India, with local tourism attractions witnessing a higher traffic.</p>.<p>In early July, Oyo's founder and chief executive officer, Ritesh Agarwal, said the firm would consider a potential public offering, but did not provide a timeline.</p>.<p>India is currently witnessing an IPO frenzy. In July, food-delivery firm Zomato saw a stellar debut. Berkshire Hathaway Inc-backed Paytm and ride-hailing firm Ola, which is also backed by SoftBank, are among other Indian startups looking to enter markets.</p>.<p>Last week, a financial news website reported that Oyo had shortlisted JP Morgan, Kotak Mahindra Capital and Citi for a more than $1.2 billion initial share sale. Oyo did not respond to a request for comment on the report.</p>