SoftBank-Backed Oyo to Reduce Planned IPO Amid Tech Headwinds
- Founder pushing for sale as financial pressure intensifies
- Firm set to sell just third of new shares originally planned
An Oyo hotel in Tokyo, Japan.
Photographer: Toru Hanai/BloombergThis article is for subscribers only.
Oyo Hotels is reducing the shares it aims to sell via a stock-market debut by about two-thirds, an effort by its founder to get the sale done even after tech valuations plunged.
The once-high-flying company is preparing to file a fresh initial public offering document as soon as this week, said two people familiar with the matter, who asked not to be named discussing internal matters. In the filing, Oyo will outline plans to sell just a third of the new shares it originally planned, eroding the amount of fresh capital it is expected to receive, one of the people said.