Companies

OYO enters co-working space with ₹180-crore Innov8 buy

Our Bureau New Delhi | Updated on July 16, 2019 Published on July 16, 2019

Budget hotel chain OYO on Tuesday announced its entry into the co-working space segment with the acquisition of Innov8, an existing player in that market. The deal size is ₹180 crore, according to sources.

OYO Workspaces plans to take a multi-brand approach, and has introduced two other co-working brands — Powerstation and Workflo — besides Innov8

While Innov8 offers premium office space, Powerstation caters to small and medium businesses and Workflo is a more budget-friendly product.

“Through a targeted multi-brand strategy, we aim to provide a differentiated experience for co-workers at different price points and help expand access to co-working spaces to more and more businesses and professionals across the country,” said Rohit Kapoor, CEO, New Real Estate Businesses, OYO. The price per seats starts at ₹6,000 and goes up to ₹10,000.

OYO will launch into the segment with around 21 workspaces with 15,000 seats across 10 cities in India. Of these, 16 centres are under the Innov8 brand, in Delhi, Noida, Gurugram, Bengaluru, Chandigarh and Mumbai. Powerstation has a centre in Gurugram with around 1,000 seats while Workflo has set up four centres across NCR, Hyderabad and Bengaluru with a hosting capacity of over 1,500 seats.

OYO Workspaces aims to expand its presence to over 50 centres across India by the end of 2019, Kapoor said.

“This alliance will work toward simplifying and strengthening the co-working experience for Indians while tapping the enormous opportunities this space offers,” said Innov8 founder Ritesh Malik.

Published on July 16, 2019
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