Oyo Rooms, which recently became an unicron, is planning to start operations in Japan and is eyeing to dominate the country’s budget hotel market ahead of the 2020 Olympic Games, reports LiveMint.
According to the reports, the startup is piloting a couple of properties in the capital city of Tokyo, with a formal entry expected to take place over the next three to six months. Oyo’s website already lists at least two properties in Shinjuku, Tokyo.
The move comes less than a year after Oyo Rooms entered China. The budget hotel chain startup entered the Chinese market in December last year which the company identified as a core market, along side its home market.
Japan is also the home market for Oyo’s largest investor SoftBank and people aware of the development mentions that the recent round of investment from SoftBank will be part dedicated to Oyo’s aspirations in Japan.
People aware of the matter says that the startup has started recruiting for the Japan operations. Oyo has been on an international expansion spree, having set up operations in five countries within the last 12-18 months. Currently, it is present in India, China, Malaysia, the UK and Nepal.
Earlier this month, Oyo had raised $800 million from Japan’s SoftBank Vision Fund and other investors, taking the company’s valuation to over $4 billion. The company had said that it would invest around $600 million to strengthen its position in China.