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Oravel Stays receives USD 807 mn from Soft Vision Fund, RA Hospitality

PTI   

Oravel Stays receives USD 807 mn from Soft Vision Fund, RA Hospitality
Business1 min read
New Delhi, Mar 18 () Oravel Stays, the parent company of OYO, has received USD 807 million (around Rs 6,000 crore) from existing backer Soft Vision Fund and Ritesh Agarwal led RA Hospitality Holdings.

In October 2019, OYO had said that it will raise USD 1.5 billion (nearly Rs 10,650 crore), as part of its latest round of funding, which will be utilised for expansion in the US and strengthening its vacation rentals business in Europe.

As per a regulatory filing to the Ministry of Corporate Affairs, the company has received USD 807 million.

It has allotted a total of 15,325 Series F compulsorily convertible cumulative preference shares (CCCPS) to the two entities, at a price of USD 52,643.22 per share, the filing said.

When contacted, a OYO spokesperson in a statement said "this is a key development for OYO Hotels & Homes, and additional funds will help the business achieve its strategic objectives for 2020, which include accretive and sustainable growth, operational excellence and investment in corporate governance and training".

"This round has been financed by RA Hospitality Holdings and Softbank Vision Fund for a sum of USD 1.5 billion," the spokesperson said.

As per the filing, Soft Vision Fund now has 46.42 per cent ownership on a diluted basis and RA Holdings has 23.74 per cent stake. AKT DRR

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