Question : Which of the following has acquired stake in IPO-bound Oyo ?
a. Qatar Insurance Company & HNIs
b. Kuwait Insurance Company
c. Al – Zumerah
d. None of the above
Ans. a.
Related facts —
- A clutch of buyers, including Doha-based insurer Qatar Insurance Company (QIC) and a few high-net-worth individuals (HNIs) and family offices purchased stakes in Oyo during November and December last year.
- The secondary transactions were executed at a price of approximately Rs 110 per share, and include nearly 1.43 crore equity shares as well as 2,500 preference shares.
- This would work out to a valuation of around 9.56 billion dollar similar to the last round of funding by Microsoft for the company.
- It is noteworthy that Oyo’s existing investors are – SoftBank Vision Fund, Sequoia Capital, Lightspeed Ventures, Greenoaks Capital, Airbnb, and Hindustan Media Ventures besides a 33% holding by founder Ritesh Agarwal.
- Qatar Insurance Company
- It is the largest insurance company in the MENA (Middle East and North Africa) region.
- It is listed on the Qatar Exchange with a market capitalisation of over 4 billion dollar.
- Oyo’s Employee Welfare Trust(OEWT) —
- The purchases are secondary transactions, with the shares primarily being offloaded by OEWT, which holds them on the behalf of its employees, as a part of its ESOP programme.
- ESOP stands for — employee stock ownership plan.
- It is noteworthy that Oyo had recently expanded its ESOP pool by 41%.
- Over 80% of its current employees have been granted ESOPs.
By – Pankaj Pandey