Oyo Can Become World’s Biggest Hotel Network: After Winning China, Oyo Wants To Conquer America
It was 6 years ago when a teenager, a mere 19 years of age, initiated his startup by the name Oyo Rooms. He probably didn’t have any idea about the heights to which his brainchild would reach!
Masayoshi Son, the founder of the SoftBank Group Corp has expressed confidence that Oyo will go on to become the largest hotel network in the world.
As if to highlight Son’s words, Oyo is planning to invest $300 million to expand its business in the US.
Softbank had last raised $1 billion for Oyo (directly and indirectly), and pushed their valuation to $5 billion.
After that round, Softbank owned 46% stake in Oyo Rooms.
What has been the secret to Oyo’s success in India, and globally?
Oyo To Be The Largest Hotel Network Globally
Within 1.5 years, Oyo Rooms demolished all Chinese competitors, and emerged as #2 biggest player with 4.5 lakh rooms across 10,000 facilities.
And it won’t be long for the platform to be the largest in the world, as opinionated by Masayoshi Son.
During a general shareholders’ meeting that was conducted in Tokyo yesterday, Son spoke about OYO being the largest network in India and second largest in China.
Masayoshi Son expressed his thoughts, “They (OYO) would be becoming the largest hotel network in the world.”
OYO Wants To Win Over America Now; $300 Million Funding Secured
Since its launch in 2013, OYO has expanded across 500 cities across India, China, Malaysia, Nepal, the United Kingdom, the United Arab Emirates, Saudi Arabia, the Philippines, Indonesia and Japan.
OYO is also prevalent in multiple cities of the US, such as Dallas, Houston, Augusta, Atlanta, and Miami.
In an attempt to spread its web over a wider diameter, OYO is planning to invest no less than $300 million, which is also meant for other purposes such as obtaining talent, building competency, and building better infrastructure.
The popular company now aims cities such as New York, Los Angeles, and San Francisco, as revealed by a statement from OYO.
Abhinav Sinha, chief operating officer, OYO Hotels & Homes, Global said, “We, at OYO, are thrilled to see our business grow in the US, our newest home market.”
Oyo Will Be $10 Billion Startup?
Last week, news came in that Oyo is all set to breach the $10 billion valuation mark, as talks are on to raise a fresh venture capital of $1 billion.
The news about $300 million VC infusion for American operations can be or cannot be part of this $1 billion investment.
Besides America, Oyo Rooms is also planning to make some major inroads into Europe, as they have announced 100% stake acquisition in @Leisure Group from Amsterdamn, for a $415 million.
Now, in case Oyo is able to raise $1 billion, and push their valuation to $10 billion, then they will be India’s biggest startup, along with Paytm (whose valuation is currently $10 billion).
Oyo Rooms is all set to conquer the world, it seems.