WHEN OYO RAISED 1 BILLION DOLLAR OF FUNDING
Indian Hotel Chains OYO Rooms takes a big step and makes OYO rooms India’s Second most valued start up after Paytm by raising more than 1 Billion Dollars from Japan’s SoftBank Vision Fund along with other such investors.
OYO plans to distribute the resources among the two countries : India and China, which are it’s biggest markets.
Founder Ritesh Agarwal, in a statement given during a phone call interview had talks about strengthening OYO Rooms’ base in China with its $600 million. He says, “India has 4.3 million unbranded rooms and China has 35 million, but there is only a 25% occupancy rate. We want to change that,” he also adds that, “We are currently focused on Tier-2 and 3 cities in China, however we plan to expand this to Tier-4 and 5 too.”
OYO Rooms, founded by Ritesh Agarwal in the year 2013 is, today, India’s one of the fastest growing and largest hospitality chain. Initially considered as budget hotels, the OYO Rooms chain, now, has thousands of hotels, vacation homes and millions of rooms globally, across courtiers such as India, China, Nepal, Brazil, Japan, United Stated, UK and many more.
The CEO and founder of StartupLanes, Shishir Gupta says, “The fundraising of OYO rooms will enable it to expand further globally and will transform a home based startup into a multi national company. Ritesh is a great Entrepreneur, he will make sure that OYO achieves this peak as soon as it is possible. OYO is the second most valuable startup in India because of the hard work and passion by the entire OYO team. I wish all the best to Ritesh. OYO is a truly Indian startup.”
Data analysis of the growth of Tourism Sector, the UN Tourism Organization reports that in 2018, the market has grown 6% and reached to 1.4 billion travelers worldwide.
However, now, with the impact of the spread of the deadly Corona Virus all across the world, the Tourism sector is bound to face many hurdles in the coming time. Extra funds need to be kept separately for safety and precautionary measures such as disinfectants, sanitizers as well as PPE kits for house keeping and cleaning staff. It would be a real challenge to overcome this difficulty, nevertheless, nothing is impossible in the world if one does not lose hope.
I believe the Covid-19 situation can be tackled by the fast growing companies like OYO Rooms with innovative tactics and dedication towards tourism and hospitality sector.