Ride-Hailing Firm Grab Invests $100 Million In Oyo
Grab infused about $100 million (Rs 733 crore) in Oyo Hotels & Homes as both the firms aim to go deeper into the South-east Asian market.
The Singapore-based ride-hailing company made the investment through its subsidiary A1 Holdings Inc., according to filings made with the Registrar of Companies and reviewed by BloombergQuint.
The investment is part of $1 billion Oyo raised in September from SoftBank Vision Fund, Sequoia Capital and Lightspeed Venture Partners, a person privy to the deal told BloombergQuint on the condition of anonymity. At the time, Oyo had said it raised $800 million and has a commitment for $200 million more.
Grab was last valued at more than $10 billion and Oyo at $5 billion. Both the firms count Japan’s SoftBank Group Corp as one of the key investors.
Oyo is scaling up in Southeast Asia with presence in Malaysia and Indonesia. At the time of investment two months ago, the hotels company said while it has earmarked $600 million for expanding operations in China, the rest will be ploughed into Southeast Asia and the U.K.
Grab, which acquired Uber’s Southeast Asian business in March, is also expanding rapidly through Southeast Asia, including Thailand, Vietnam, Indonesia Malaysia, and the Philippines. Grab has already raised $2 billion this year as it wages an expensive battle against Indonesia’s Go-Jek.