Hospitality firm OYO has decided to acquire Amsterdam-based vacation rental company Leisure Group from Axel Springer for an estimated $415 million (over Rs 2,885 crore).
The acquisition could help OYO etch closer to realizing its vision of becoming a global real estate brand while maintaining leadership in the hospitality industry, OYO said in a statement.
As per some sources in the know, the acquisition cost is $415 million (around Rs 2,885 crore).
Leisure Group is a leading vacation rental company in Europe and manages holiday homes, holiday parks and holiday apartments, it added.
As part of the deal, Leisure Group CEO will join OYO’s leadership group as CEO, Vacation Homes, OYO Global, the statement said.
Speaking on the development, OYO founder & Group said they have seen vacation homes as a unique opportunity with 115,000 units of homes now getting added to their already growing count of beautiful homes and are excited to continue maintaining the global industry leadership.
Leisure Group has proven capabilities in helping develop Europe into a vacation rentals hotspot and OYO is keen to leverage their competencies towards ensuring beautiful vacation rental and urban homes experience for millions of tourists from every part of the world, he added.
In similar vein, OYO’s Global Chief Strategy Officer said there are more than 2.8 mn holidaymakers from over 118 countries who book their holiday every year with Leisure Group. The combined strength of both brands could scale the opportunity multifold.
Through this acquisition, the size and scale of the opportunity can be immediately unlocked for OYO’s Homes business, he added.
For OYO Hotels & Homes, it is thus a perfect platform for driving forward further consolidation in this segment, he added.
Leisure Group, through its Belvilla, DanCenter, and Danland brands, offers more than 30,000 fully managed holiday homes across 13 countries in Europe and through its Traum-Ferienwohnungen brand, offers a subscription-based home management service with over 85,000 homes across 50 countries.
This represents a total inventory of over 300 thousand rooms.
With the Leisure Group set to join the chain, OYO will have its existence in more than 800 cities across 24 countries – UK, US, India, China, Malaysia, Nepal, the UK, UAE, Indonesia, Saudi Arabia, the Philippines and more recently Japan.
