Oyo has secured a $5 Million investment from Microsoft. With this investment the hotel and hospitality chain OYO, valuation has touched $9.6 billion, media reports said citing filings.
Last month, SoftBank Group Corp (OTC: SFTBY)-backed Indian hotel aggregator chain Oyo Rooms Oyo said it had raised $660 million in debt.
Previous reports on Microsoft’s strategic investment in OYO had also said the investment may involve OYO shifting to use Microsoft’s cloud services. OYO has reportedly shortlisted investment banks JP Morgan, Kotak Mahindra Capital, and Citi for its IPO.
Microsoft has invested $5 million in Indian budget hotel chain Oyo, according to a regulatory filing this week.
The pandemic hit the seven-year-old startup like a “cyclone,” Agarwal told Bloomberg TV last month. “We built something for so many years and it took just 30 days for it drop by over 60%,” he said, adding that the firm had not made any decision on exploring the public markets.
The new investment values Oyo at $9.6 billion, only slightly lower than the $10 billion valuations from the Indian startup’s previous financing round in 2019. The startup, which lost significant business to the pandemic, was valued at just $3 billion in recent quarters by SoftBank, one of its largest investors.