OYO acquires Novascotia Boutique Homes
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OYO inked its first business acquisition, entering into an agreement with Chennai based service apartment company – Novascotia Boutique Homes. The acquisition will add to the company’s existing portfolio and strengthen its deep operational expertise in delighting corporate customers and reiterating its focus on creating India's largest corporate service brand.
It is the first in a series of acquisitions, collaborations, innovations and launches for OYO, all of which are aimed at creating a strong and sustainable ecosystem for entrepreneurs, hotel partners, asset-owners and travellers.
Commenting on the development, Ritesh Agarwal, Founder & CEO – OYO said: “The acquisition forms an integral part of our inorganic growth plan, in line with our ambition to create beautiful and quality living spaces and adding value to every form of real estate. OYO is poised to deliver 180,000 keys by the end of 2018 and with Novascotia’s strength, we will be adding service apartments to our existing portfolio - which includes budget rooms, OYO Townhouse, OYO Home, enabling us to offer a wide range of choices to our customers.”
With this acquisition, OYO will bring its distribution, operational, transformational and technological capabilities on board for offering corporate travellers quality accommodation options with complete focus on privacy, safety and home-like care.
The acquisition will boost OYO’s portfolio by 350 exclusive rooms across locations where Novascotia has its footprints further strengthening OYO's position as the largest full stack hospitality tech company in India.
With 100% of its demand coming from corporates and a healthy EBITDA of 14 per cent , Novascotia has built a strong portfolio for itself while providing executive furnished accommodation to corporates for their personnel stay in locations, including Chennai, Coimbatore, Hyderabad, Kochi and Trivandrum and OYO plans to expand these offerings to 12 cities by the end of 2018.
G. Madhu Manohar and Girja Madhu, Co-founders, Novascotia, said, “ We are convinced that OYO with its wide experience in the hospitality business and hunger for delivering quality customer experience has every potential to take the Novascotia brand promise of ‘home away from home; forward. We are delighted with the support and professionalism received from OYO, its teams and our advisers at ANOVA Corporate Services for taking this to closure. We are excited to be onboard.”