After being in controversy for months, branded network of budget hotels OYO Rooms has raised over $25 Mn in a funding round led by San Francisco-based Greenoaks Capital and existing investors i.e. Lightspeed and Sequoia at a valuation of $100 Mn.
OYO, had previously raised funding from VentureNursery, a seed round from Lightspeed Venture Partners and DSG Consumer Partners last year, and later it raised INR 30 Cr. from Sequoia Capital in October.
College dropout Ritesh Agarwal, had launched this startup three years back, as Indian version of home-sharing website AirBnB. But, later, it had pivoted its business model to a managed marketplace of branded and standardized budget accommodations under the brand OYO Rooms.
The startup has been growing aggressively since past 6 months, and from 30 hotels it has added over 200 and from one city to 10.
Going further, by the year end, it plans to add over 1000 hotels.