Microsoft Set To Invest In Indian Hospitality Chain OYO At $9 Billion Valuation: Report
Microsoft Set To Invest In Indian Hospitality Chain OYO At $9 Billion Valuation: ReportOYO logo

United States based technology giant Microsoft is in advanced stages of talks to invest in Indian hotel chain Oyo at a valuation of $9 billion, reports Tech Crunch.

According to the report, a deal is expected to close between both the companies as soon as Friday (30 July). However, the proposed size of the investment is unclear.

The proposed deal is likely to also involve the Ritesh Agarwal-led Oyo shifting to use Microsoft’s cloud services.

The valuation of Oyo was at about $10 billion in 2019 but has been slashed to $3 billion by Softbank, a major investor in the startup, in the recent quarters.

The Indian startup, which has aggressively expanded to many markets including Southeast Asia, Europe and the US in recent years, has been hit hardly by the Covid-19 as the tourism sector remains one of the most-affected due to pandemic related restrictions.

However, increasing vaccination and declining cases have raised the hopes of recovery in the travel sector as well as the hospitality industry.

Meanwhile, If the deal between Microsoft and Oyo materialises, it will be US tech giant’s latest investment in an Indian startup. The firm has backed a handful of startups in the India, including news aggregator and short-video platform DailyHunt, e-commerce giant Flipkart, and logistics SaaS firm FarEye.

An Appeal...

Dear Reader,

As you are no doubt aware, Swarajya is a media product that is directly dependent on support from its readers in the form of subscriptions. We do not have the muscle and backing of a large media conglomerate nor are we playing for the large advertisement sweep-stake.

Our business model is you and your subscription. And in challenging times like these, we need your support now more than ever.

We deliver over 10 - 15 high quality articles with expert insights and views. From 7AM in the morning to 10PM late night we operate to ensure you, the reader, get to see what is just right.

Becoming a Patron or a subscriber for as little as Rs 1200/year is the best way you can support our efforts.

Become A Patron
Become A Subscriber