OYO Hotels and Homes has now formally revealed its acquisition of co-working venture Innov8, while also stating that it is also planning to expand the business to 50 centers by the end of 2019.
The transaction as of now was revealed in the January this year, is believed to have valued the Delhi based Innov8 at around INR 200 crore and marks the Gurgaon based OYO first step into the real estate sector.
“Work spaces are a natural extension for us. The skill-sets, and capabilities are quite common. We have the people, talent, technology and a great customer base to leverage, who are accessing multiple services,” Rohit Kapoor, chief executive – new real estate business at OYO, told ET.
While the Kapoor as of now decline on the terms of the deals, Innov8 has confirmed that OYO will operate the latter as an independent brand, and with its existing co-working operations -Work Flow and power Station. As a part of the acquisition, OYO will also onboard the 150 employees of Innov8 on its payroll.
“Our attempt is to create a whole suite of products here, which make workspaces great, at price points that make complete sense. The attempt is to create a product portfolio not just for infrastructure but also to maximise yield. There are many opportunities between affordable to mid-market segment in the country,” Kapoor said.