Budget hospitality startup OYO Rooms has made its second acquisition after it acquired AbePlus, an Internet of Things (IOT) startup headquartered in Mumbai. However, OYO Rooms has refused to disclose the valuation of the deal.
This acquisition will help OYO in developing an ecosystem aided by breakthrough technologies like IOT and artificial intelligence that will help in efficient management of hotels and assets, OYO said in a statement.
“With the introduction of IoT into the basic precincts of hotel management, we aim to enhance customer and partner experiences by roping in the best of technology capabilities that are changing how India sees hospitality today,” OYO Chief Technology Officer Anil Goel commented.
AbePlus develops IOT system for hospitality industry
Started in 2016 by Akash Goel and Bonish Gandhi, AbePlus creates efficient IoT systems for increasing the operational capabilities of the hospitality industry. To its credit, the Mumbai based startup has so far developed plethora of products to help hotels in remote monitoring, detecting thefts in real time etc.
Goel and Gandhi previously ran HandyHome, a startup dedicated to home appliance repair. The startup was eventually acquired by home services marketplace UrbanClap. Before the acquisition, HandyHome had raised $500,000 in seed funding.
Oyo rooms is in Business Expansion Spree
Buoyed by last year’s $250 Mn funding by SoftBank, OYO has been relentlessly trying to expand its business. In March this year, OYO acquired boutique hotel company Novascotia Boutique, which was the first-ever acquisition for the Gurgaon based startup. This was soon followed by OYO’s foray into the highly competitive Chinese market.
Separately, the Gurgaon headquartered startup is reportedly in talks with SoftBank and other investors to raise $500-800. It has so far raised $450 Mn through multiple rounds of funds.
Founded in 2013, OYO Rooms previously was a pure hotel aggregator platform but later pivoted into franchise model. The startup has managed to garner lot of eyeballs from the media owing to its young founder & CEO Ritesh Agarwal, who is merely 24 years old, making him one of the youngest CEOs in the Indian corporate world.