OYO Parent Plans To Launch 25 SUNDAY Hotels To Boost Its Premium Portfolio

Hospitality major OYO’s parent Oravel Stays Ltd is planning to launch 25 new hotels under the ‘SUNDAY’ brand this financial year. 

The company is eyeing to launch these hotels in the next two months across key travel destinations, including Gurugram, Manesar and Corbett.

Launched in May last year, SUNDAY Hotels is a joint venture between the SoftBank Group and Oravel Stays. 

Aditya Sharma, business head of Oravel Stays Private Limited, said, “This strategic move increases our portfolio of high-quality, upscale properties. The addition of new properties in key markets have been carefully selected”.

OYO’s expansion of SUNDAY Hotels comes days after OYO withdrew its IPO documents from SEBI, signalling a shift in its capital-raising strategy. 

Reports suggest the company is in discussions to raise INR 1,000 Cr in fresh funding, with family offices of Indian corporate executives potentially acquiring stakes.

The company has also been focusing on achieving profitability. In FY24, OYO reported its first full year of profit with a net figure of INR 100 Cr, according to founder and CEO Ritesh Agarwal.

The company’s cash reserves stood at INR 1,000 Cr at the end of the fiscal year, indicating improved financial health.

Founded in 2012 by Ritesh Agarwal, OYO is a hospitality service company that aims to provide  easy-to-book and affordable accommodation to customers around the world.

The company claims to offer over 40 integrated products and solutions to patrons who operate above 157K hotel and home storefronts in more than 35 countries including India, Europe, and Southeast Asia.

Note: We at Inc42 take our ethics very seriously. More information about it can be found here.