Hospitality firm Oyo Hotel & Homes has closed a debt financing around of $660 million from global institutional investors even as the country still grapples with the pandemic.
The company did not disclose the names of the investors however according to the sources privy to the development investors who participated in the round include Fidelity Investments, Citadel Capital Management, and Varde Partners.
The company will utilize these funds to retire its past debts, strengthen the balance sheet and boost the product technology, among other things.
“Oyo is well-capitalized and on the path of achieving profitability. Our two largest markets have demonstrated profitability at the slightest signs of industry recovery from the COVID-19 pandemic,” said Abhishek Gupta, Group Chief Financial Officer, Oyo.
According to the Oyo, the offer was oversubscribed by 1.7 times and it also received commitments of close to $1 billion from leading institutional investors.