OYO Rooms to expand network to 2,000 hotels by year-end

BENGALURU: Budget hotel chain OYO Rooms is planning to expand its network by five-fold to 2,000 hotels by the end of this year.

Funded by Lightspeed, Sequoia, Greenoaks Capital and DSG Consumer Partners, OYO has 4,500 rooms in 400 hotels across the country. In March, OYO Rooms raised Rs 150 crore from Lightspeed, Sequoia and Greenoaks Capital.

Earlier, the company was targeting 450 hotels by the end of this year.

"The company has set itself a revised target to expand its network to 2,000 hotels in 45 cities by this year-end," OYO Rooms said in a statement.

It said the company has India's largest branded network of hotels, having grown to 400 hotels in 16 cities from one hotel in Gurgaon less than two years ago.

"India's budget hospitality market is ripe for disruption and as the market leader, we are best poised to lead this change," OYO Rooms Founder and CEO Ritesh Agarwal said.

He further said, "Our customers feedback and loyalty encourages us to redouble our growth efforts as we are keen to bring the OYO experience to as many Indian travelers in as many different cities as possible, and at the earliest."

The company follows the own-and-manage model in which it provides training, standardization of the product and marketing of these hotels.

OYO Rooms is present in cities 16 cities including Delhi, Gurgaon, Noida, Bengaluru and Mumbai among others.