After the meltdown at WeWork, attention is shifting to the valuation of another SoftBank-backed company, Oyo, the Bangalore-based hotel chain that has been one of the great success stories of the Indian startup scene.
The scrutiny follows a series of transactions in which Oyo founder Ritesh Agarwal bought out the stakes of several early investors, including Lightspeed Venture Partners and Sequoia Capital's Indian and Southeast Asian investment arms, at seemingly high valuations. As it happens, his purchases of these stakes was financed by several Japanese financial institutions that are close to SoftBank.
