OYO-Parent Gets Shareholders' Nod For Raising Up To Rs 6,650 Crore Via IPO

In November, Oyo announced the withdrawal of its controversial 6,000:1 bonus issue plan, as per which, investors were to receive one bonus Compulsorily Convertible Preference Share (CCPS) for every 6,000 equity shares they hold in the company.

The company, in a statement, confirmed its roll back and said that it will shortly introduce a new and simplified bonus structure that includes all shareholders, ensuring equal participation and transparency, following feedback from shareholders.

"We are not proceeding with the current resolution and will shortly bring a fresh, unified proposal for shareholder approval in accordance with the Companies Act, 2013. The revised structure will be announced in the coming days and will not require any application process," an Oyo spokesperson said.

As per the previously proposed bonus resolution, Oyo had announced a bonus issue linked to a potential IPO pathway for equity shareholders. The earlier structure was designed to allow them to participate in the potential upside through an opt-in process, but the new resolution will be applicable to all classes of shareholders without requiring them to apply.