Confirming previous reports, Oyo founder Ritesh Agarwal, via Cayman Islands-registered company RA Hospitality, has signed a $2 billion primary and secondary management investment round with Oyo. The deal will be a mix of primary and secondary transactions, and is primarily intended to increase Agrwal’s stake and say in the company.

Sitting currently at close to 10% of the company, this $2Bn round will see Agarwal increase his stake in Oyo to ~30%. Additionally, stocks issues to employees will combine to give Agarwal a sizeable ownership of ~32-33%.

In a statement issued by Ritesh Agarwal, he said, “As an entrepreneur and on behalf of the company’s management, I am thankful to have been given the opportunity to rededicate ourselves to the company’s mission of building the world’s most loved hospitality brand that is focused on bringing a better lifestyle for the common man”.

The deal’s structure would also see Oyo’s earlier investors sell their respective stakes. Lightspeed Venture Partners, and Sequoia India will look to load off their stocks as part of this investment round. The round has seen participation from global institutional banks and Agarwal’s financial partners, and is subject to shareholder and regulatory approvals, the company said in a statement.

“As the company’s first institutional investor, Lightspeed is fortunate to have been part of OYO’s journey from a fledgling start-up in India to a transformative company in the hospitality industry globally. We remain committed to supporting Ritesh and the OYO team as the company embarks on its next phase of growth globally,” said Bejul Somaia, Partner, Lightspeed India Partners Advisors.

The deal will help Agarwal regain significant ownership in the company, a move he initiated after multiple secondary transactions by Softbank Vision Fund raised the Japanese behemoth’s stake to 48%.The Oyo founder, along with the management, are expected to emerge as the second-largest shareholder after SoftBank Vision Fund. As per clauses drawn up by Oyo, the Japanese group cannot increase its ownership beyond 49.9% without receiving approvals from Agarwal, Sequoia, Lightspeed and Greenoaks Capital.

For Softbank, this will make it the third such deal by a major privately-held Indian company, to regain lost stakes. Ola’s Bhavish Aggarwal had done something similar when he brought in capital from Flipkart founder Sachin Bansal. Another ecommerce player Snapdeal, had engaged in similar transactions.