IPO-bound OYO's valuation climbs as Microsoft invests $5 million

Satya Nadella-run Microsoft has invested $5 million in SoftBank-backed Oyo, ahead of the Indian hotel chain's plan to go public.

Oyo has kicked off Series F2 round and has allotted 5 equity shares and 80 preference shares to Microsoft Corporation at an issue price of $58,490 per share to raise $5 million, regulatory filings show.

The deal comes at the backdrop of hospitality unicorns' preparation to launch an Initial Public Offering (IPO).

According to reports, Oyo is reportedly looking at raising $1.2 billion through the public offering that would potentially happen by the end of this year.

One of India's most valuable startups, Oyo has aggressively expanded to several global markets comprising Europe, US and Southeast Asia in recent years.