Amid rumors that OYO may shelve its IPO plans, the hospitality service provider is making major managerial changes. Rohit Kapoor, the current CEO – India & Southeast Asia – will now be the company’s global marketing head.
Global Chief Business Officer Ankit Tandon will take on the additional responsibility of Southeast Asia with a specific focus on Indonesia and the Middle East region as its CEO. Ankit Gupta, currently the CEO of Hotels and Homes – India will take on the role of CEO – India.
The affordable lodging start-up has named Ankit Gupta, CEO of Oyo’s hotels and homes vertical, as chief executive of its India business. It also elevated Rohit Kapoor to a global role as the company’s marketing head, from his current position of CEO-India & Southeast Asia.
It announced Ankit Tandon, global chief business officer, would take on the additional responsibility of Southeast Asia with a specific focus on Indonesia and the Middle East region as chief executive.
All three would report to Founder & Group CEO Ritesh Agarwal. The changes in the top management come at a time when the company is awaiting a nod for its IPO from the capital markets regulator, even six months after filing the DRHP.
All three executives are taking the new responsibilities from 1st April 2022 and will report to the Founder & Group CEO, Ritesh Agarwal. The change comes at a time when it is reported that the Softbank-backed OYO is considering slashing its fundraising target by half or even suspending its IPO plan.
IPO News
Ritesh Agarwal-led OYO is yet to receive markets regulator Sebi’s nod for its $1.2 billion IPO. Oyo, in October 2021, had filed preliminary documents for an Rs 8,430 crore IPO.
According to the filing, the IPO was to consist of a fresh issue of shares of up to Rs 7,000 crore and an offer-for-sale of as much as Rs 1,430 crore.
However, the SoftBank and Sequoia-backed company — against the backdrop of volatility in the equity market — is considering slashing its IPO size target by half or even suspending its primary market plans, said a source-based Bloomberg report.
It, the report said, is also considering halving its expected valuation from the $12 billion originally targeted. The company has contested the news report.
Oyo said Kapoor will focus on lifting the brand persona of Oyo in his new role. He will also focus on introducing the brand to its European vacation homes business. Founder Ritesh said, “He has consistently demonstrated his acumen of rejuvenating and transforming every business that he has led for the company.”
“We will be banking on him to uplift brand and marketing through his exceptional first-principles approach and his deep understanding of Oyo as a business operator,” he added.
