OYO’s latest move adds more fuel to an already blazing market buzz. Parent company Oravel Stays Ltd is considering a 1:1 bonus share issue as part of its pre-IPO strategy, and the timing could not be better. Unlisted shares have surged 25% in the past month, and this bonus plan looks like the icing on the cake for investors.
So what does this mean? A 1:1 bonus issue gives shareholders a free doubling of their share count. Every share you hold today becomes two once the bonus is issued. The total value of your investment stays the same initially, but the added liquidity and psychological boost often work wonders for market sentiment. The company has pegged September 30, 2025 as the record date, meaning shareholders on the register by then will benefit from the windfall.
The move is strategic. OYO has been fine-tuning its story for Dalal Street, and rewarding shareholders with a bonus issue is a smart way to build trust ahead of its much-awaited IPO. Investors have already shown their enthusiasm, with unlisted shares rallying strongly in anticipation of the listing.
For the company, the bonus issue is also a way to showcase confidence and financial strength without spending cash. For shareholders, while the overall value does not instantly increase, doubling the number of shares creates more opportunities to profit once the stock lists.
This decision also signals a new chapter for OYO after two unsuccessful IPO attempts in the past. With improved financials, stronger branding, and this shareholder-friendly gesture, the board is determined to make its third attempt a success. Market experts will now keep a close watch on how this plan aligns with OYO’s upcoming DRHP, expected in November.
For investors, the bonus shares are not just a sweetener but also a reminder that the IPO clock is ticking. Those already holding OYO unlisted shares are in for a double delight, while others now face the urgency of joining before the big moment arrives.
In simple terms, OYO’s 1:1 bonus issue is both a gift and a strategy. It rewards existing believers, boosts market confidence, and sets the stage for one of the most closely watched IPOs of 2025. The pre-IPO sprint has clearly begun, and OYO seems determined to make every step count.