New Delhi: The IPO of tech hospitality startup Oyo, which was earlier expected to be launched in the first half of 2023, will now likely be delayed another quarter, as Securities and Exchange Board of India (SEBI) has written back to the company asking it to update additional sections in its Draft Red Herring Prospectus (DRHP), people familiar with the matter told ET.Oyo has been asked to update information such as updated risk factors, key performance indicators (KPIs), outstanding litigations and basis for valuation, the people cited above said.This development would delay Oyo’s proposed IPO plan by around three months as the exercise of updating the DRHP and updated filings would require more time.But, a source close to the company said that the opportunity to update all material information was a ‘welcome’ step.“It would only be prudent to expect investors to put in money basis the latest information, and we have been asked to provide any latest disclosures at the appropriate pre-IPO stage. This is the most sensible course of action now. It may also shift the IPO plans by two to three months, but we will be able to show a full financial year of EBITDA profits in the process,” the person familiar with the company’s plans said. Oyo had recently submitted through an addendum to the DRHP, the first half, financial year 2022-23 financial numbers to SEBI citing that potential investors needed to be made aware of the material uptick in its business performance since its IPO application in September 2021.It had reported a maiden positive adjusted EBITDA of Rs 63 crore, a 24% year-on-year increase in revenue and 69% increase in monthly booking value (GBV per month) for its hotels for the first six months of financial year 2023. SEBI has asked the company to now also update other material information.“The disclosures contained in present DRHP do not take into account the material changes/disclosures arising from updated financial statements as filed through addendums leading to revised period for disclosures which in turn leads to necessities to make material updates in Risk Factors, Basis of Offer Price, Outstanding Litigations and update other relevant sections of DRHP,” SEBI stated in its letter to Oyo.Oyo reported an adjusted ebitda of Rs 56 crore for the September quarter, up from Rs 7 crore in the preceding three-month period. The company made a loss of Rs 333 crore compared with a loss of Rs 414 crore in the June quarter as per its addendum. The company stated its Ebitda grew eightfold to Rs 56 crore in the second quarter, driven by a 23% quarter-on-quarter rise in monthly revenue per property or gross booking value (GBV) per hotel to Rs 4 lakh. It reported revenue of Rs 1,446 crore in the second quarter.