San Francisco-headquartered home renting firm Airbnb on Monday announced an investment that ranges $100-200 million in Indian start-up Oyo Hotels and Homes.
Though Airbnb did not disclose any amount of the investment, sources in the know said that the amount could range between the figures mentioned above.
This investment is part of the company’s series E funding, which was made in September. Oyo, which raised $1 billion last year, is backed by investors, which include the SoftBank Group, Sequoia India, Lightspeed India and China Lodging Group to name a few.
“Airbnb’s strong global footprint and access to local communities will open up new opportunities for Oyo Hotels and Homes to strengthen and grow while staying true to our core value proposition. We are happy to have Airbnb as our partner in this vision,” Maninder Gulati, Global Chief Strategy Officer at Oyo Hotels and Homes, said.
Collaboration on cards
In addition to the strategic investment, both parties are exploring opportunities to collaborate on a range of projects including making Oyo accommodations available on the Airbnb platform, the company said.
Oyo had last month announced to invest around ₹1,400 crore in India and South East Asia this year as part of its expansion plans. The budget hotel chain has also entered the US and rolled out the first pilot asset there.
Apart from India, Oyo is currently present in nine other countries, including China, Malaysia, Nepal, the UK, Indonesia, Saudi Arabia and Japan, with over 18,000 franchised or leased hotels in its chain and over 6,000 homes.