India’s OYO Rooms just got a $10m boost from a major Chinese hotel group
THE young and successful OYO Rooms has sealed a partnership with multi-billion-dollar hotel management firm China Lodging, effectively forming a strategic alliance between the two companies.
The Chinese group invested US$10 million in the Indian start-up following the latter’s US$250 million funding round led by Japanese telecommunications giant SoftBank last week.
A press announcement said that the OYO-China Lodging partnership will “explore initiating knowledge and technology sharing projects of mutual interest”. This could mean employee exchange programs, and the sharing of tech and IP. Meanwhile, consumers could benefit from a joint loyalty program.
“We are very excited about this partnership — both in terms of potential opportunities and existing synergies through our complementary strengths and capabilities,” OYO CEO and founder Ritesh Agarwal said in a statement.
“Addressing consumers in India and China – two of the world’s fastest-growing markets – through our combined strengths opens up a very large and significant growth opportunity.”
OYO has been rapidly expanding in the past year with brand set-ups in Malaysia and Nepal, and an injection of funding could see the brand ramping up its international growth, according to TechCrunch.
Launched in 2013, the booking platform is the largest hospitality group in India whose network currently spans over 200 Indian cities.