Oyo Raises $250 Million In Round Led By SoftBank Vision Fund, Hero Enterprise
Oyo raises $250 million from SoftBank Vision Fund, others.
- SoftBank invested through its $100-billion SoftBank Vision Fund
- Oyo’s existing investors Sequoia India, Lightspeed Venture Partners and Greenoaks Capital also participated in the round.
- Funds will be used to expand presence across India and other international markets.
- Till date, Oyo has raised about $450 million.
Hotel aggregator Oyo has raised $250 million (about Rs 1,600 crore) in a funding round led by existing investor SoftBank Group Corp, and Sunil Munjal’s Hero Enterprise as it looks to expand in India and overseas.
SoftBank invested through its $100-billion SoftBank Vision Fund, the New Delhi-based Oyo said in a statement. It’s the Japanese telecom and internet giant’s second largest bet in India from its newly launched fund, which is led by Rajeev Misra. Last month, the SoftBank Vision Fund invested $2.5 billion in Flipkart.
Oyo’s existing investors Sequoia India, Lightspeed Venture Partners and Greenoaks Capital also participated in the round.
The funds would be used to expand presence across India and in other international markets in South-East Asia, Ritesh Agarwal, founder of Oyo, said in a statement. The company is already present in Malaysia and forayed into Nepal in April.
We’re excited to continue to support OYO as they further expand their position in India and bring the OYO promise of affordability and elevated hospitality to other markets around the world.Justin Wilson, SoftBank’s Board Representative In Oyo
The world’s largest technology-focused investor, SoftBank had earlier pumped in more than $120 million into Oyo in two rounds, in 2015 and 2016.
Till date, Oyo has raised about $450 million, according to Crunchbase, which aggregates information on startups.
Oyo said that it operates nearly 8,500 hotels and 70,000 rooms in more than 230 cities across the country. It competes with the Nasdaq-listed online travel operators MakeMyTrip and Yatra, as well as budget hotel aggregators Treebo Hotels and Fab Hotels.