Attracting global investors, OYO’s term loan B offering was upsized by 10%, despite the increase in Coronavirus cases in India. OYO has become the first Indian company to raise finance via a term loan B offering. Indian travel start-up OYO has engaged Latham & Watkins on raising USD 660 million via a term loan B financing round, which was over 1.7 times oversubscribed.
JP Morgan, Deutsche Bank, and Mizuho Securities acted as the lead arrangers on the financing.
OYO plans to use the funds raised to repay past debts and increase the strength of its balance sheet, as well as for other business reasons including product technology investments.
OYO’s group chief financial officer Abhishek Gupta said that the successful financing “is a testament to the strength and success of OYO’s products at scale, our strong fundamentals and high-value potential”.
Gupta added: “OYO is well capitalised and on the path of achieving profitability. Our two largest markets have demonstrated…