Airbnb Invests $150-200 Million In Oyo
Airbnb Inc. invested an undisclosed amount in Oyo Hotels & Homes as the world’s largest home-rental company partners with the Indian hospitality chain expanding at a breakneck pace.
While Airbnb and Oyo didn’t disclose the amount, a person privy to details told BloombergQuint that it’s around $150-200 million. As part of the strategic investment, Oyo’s listings will appear on the Airbnb platform, the person said seeking anonymity as the details are not public. The partnership, he said, is not exclusive.
For U.S.-based Airbnb, the tie-up comes weeks after it bought last-minute hotel-booking app HotelTonight.
Maninder Gulati, global chief strategy officer at Oyo, said in a statement, “Airbnb’s strong global footprints and access to local communities will open up new opportunities for Oyo Hotels & Homes.”
The company, which last year raised $1 billion from Softbank Group Corp, has been aggressively expanding globally by entering into markets such as China, the U.A.E., the U.S., the Philippines, the U.K., among others. That propelled it into the league of world’s largest hotel chains like Wyndham Group, Choice Group, Marriott Hotels and InterContinental and Hilton by properties though it’s still way short by rooms. Ritesh Agarwal, co-founder and chief executive officer, targets the No. 1 crown globally.
Last month, Oyo said it’s looking to invest $200 million (about Rs 1,400 crore) in its India and Nepal businesses in 2019 to strengthen technology and expand operations. The company, according to its website, is present in over 259 Indian cities, having more than 8,700 hotels and over 173,000 rooms listed on its platform.