Mumbai, Nov 1 : Fintech founder Mohit Gang has accused hospitality chain OYO Rooms of attempting a "daylight heist" as retail investors are being scammed through a postal ballot that would issue bonus Compulsorily Convertible Preference Shares.

In a post on X, Gang said that OYO's postal ballot on October 27 proposed three measures: increasing authorised capital, issuing bonus CCPS, and granting sweat equity.

He claimed that a scam lay behind the second measure of issuing bonus CCPS, as the three-day response window was intended to lead retail shareholders to overlook the notice, resulting in them receiving lower-value Class A CCPS that convert one-for-one into equity.

In contrast, insiders, promoters and institutional investors opting for Class B could benefit from more favourable conversion terms linked to hiring merchant bankers for an IPO.

For Class A investors, who take no action on the postal ballot, one share will be allotted for every 6,000 existing shares.

Class B, available by opt-in, could convert at significantly better ratios, potentially providing thousands of additional shares per 6,000 holdings if merchant bankers are appointed, Gang said.

"Class B is the clear winner here and a no-brainer choice. Because the upside is huge with very little downside. If they appoint Merchant bankers, one is eligible for extra 1109 shares for every 6000 shares held. That is a neat 18.5 per cent upside," his X post read.

"Simply a classic daylight corporate heist. By giving just 3 days to respond to this email (along with the documentation requirement), they have made it virtually impossible for normal investors to opt for Class B!" Gang added.

Capitalmind AMC CEO Deepak Shenoy also took to X following Gang's allegation, writing: "Please be aware if you are a shareholder."

OYO plans to file its Draft Red Herring Prospectus (DRHP) in November for a $7-8 billion valuation for its IPO.

/IANS