Oyo Doubles Investment Plans in Southeast Asia to $200 Million
Photo Credit: Oyo 217 A1 Hotel Surabaya. In five years, there'll be 25,000 Oyo hotels in Indonesia. Oyo Rooms
Skift Take
Oyo has the money to spend and is putting skin in the game to scale fast in Southeast Asia. The region’s industry will be hearing a lot more of Oyo in 2019. But not everyone may be enthralled.
Oyo Rooms is doubling its investment in Southeast Asia to $200 million, saying that amount is just a start. When it becomes the world’s largest hotel chain in scale, revenue, and margin by 2023, it will have over two million rooms from over 25,000 hotels in Southeast Asia alone, founder & CEO Ritesh Agarwal told Skift in a matter-of-fact way.
No wonder no other name in the hotel industry today possibly raises as many emotions as Oyo does. There’s admiration and envy, but also skepticism and incredulity at the kind of numbers the 25-year-old college dropout is spewing, and whether Oyo’s eventual profitability will be fact — or fiction.
Oyo initially announced an investment of $100 million in Indonesia but in an interview with Skift, Agarwal said it is committing $200 million to the broader Southeast Asia region, adding this “is only the initial commitment…our longterm ambition is to be the biggest hotel chain in Southeast Asia and the world.”
Southeast Asia ha
