‘SoftBank cuts OYO valuation by over 20%’

Japan’s SoftBank has cut the valuation of OYO Hotels on its books by over 20 per cent, Bloomberg reported Thursday, citing sources. The downgrade comes at a time when the hotel aggregator is eyeing initial public offering (IPO) early next year.

The Japanese investor, the largest shareholder in OYO, cut its estimated value for the firm to $2.7 billion in the June quarter from an earlier $3.4 billion after benchmarking it against peers with similar operations, the report said. OYO’s valuation had reached $10 billion in a 2019 funding round.