Oyo receives US$100 million boost from Didi Chuxing

China's Didi Chuxing latest to back Oyo hotels up

Chinese ride-hailing giant Didi Chuxing has pumped US$100 million into India hospitality company Oyo.

The latest investment, which continues to value Oyo at about US$5 billion, comes two months after Singapore ride-hailing firm invested in the Indian unicorn for the same amount in Oyo in December 2018.

China’s Didi Chuxing latest to back Oyo hotels up

The latest investment has been made by Didi-controlled entity Star Virtue Investment, reported The Economic Times. This brings to a close Oyo’s US$1 billion financing round led by existing backer SoftBank Vision Fund, which has pumped US$800 million into the company, according to the same report.

Of the US$1 billion that the company has raised in the current round, Oyo has earmarked US$600 million to be channelled into its China business – Oyo Jiudian – with the rest going to other overseas markets such as India, South-east Asia and the UK.

Oyo had partnered with Didi for its foray into China in November 2017. According to data released by India-based startup company last month, Oyo Jiudian is present in 280 cities across China, operating more than 5,000 hotels and 260,000 rooms via a mix of franchised and leased properties.

Earlier this month, Oyo reported a more than three-fold jump in revenue for its India operations during the 2018 financial year. The company has projected a revenue of almost Rs15 billion (US$211 million) for the current financial year.

Sponsored Post