OYO To Expand Its Branches In The US With Over 100 New Hotels
OYO, an IPO-bound hospitality firm, plans to expand its US portfolio by adding 100 new hotels by the end of 2023. A Softbank-backed OYO has taken this step to meet the high demand in the country. As per the data shared by the company, OYO will focus on most of the new hotels in Texas, which proved to be the highest-growing market state for the country. Apart from this US state, the company will also target other states like Georgia, Florida, North Carolina, and Oregon.
The company is now focused on growth in the international market ahead of its IPO, which is reflected in its decision to expand its portfolio. OYO management shares limited details regarding the expansion plan in the US market. In this blog, we will share the details about OYO plan to extend the portfolio and how it affects its unlisted shares performance.
Details Of OYO’s Plan To Add 100 New Hotels In Its US Portfolio
In its tweet, Ritesh Agarwal, Founder & CEO of OYO rooms, confirmed that his company will extend its US portfolio by adding 100 new hotels in 2023. He also mentioned, “Despite the pandemic negative effect on OYO growth rate in the US market in 2022 and 2021, the last fiscal year was apparently the best year for the company as it recorded 23% growth.”
The demand for hotels in various states of the US, like Texas, increased twice, which made OYO add 100 new hotels to its US portfolio. This decision by the company is also crucial in terms of finances, as OYO is also planning for its IPO. Such a business growth perspective will improve the company’s financials and positively affect the OYO rooms share price.
Recently, OYO onboarded some marquee properties like Plaza in Atlantic City. As per the information shared by the company, over 15 hotels have already signed up with OYO in 2023. There are various reasons behind this move made by the OYO, like higher demand, large global tourism share in the US, and previous growth in its revenue from the US.
It is also interesting to see that OYO’s planned hotel expansions in the US come from its revived plans for an IPO. OYO recently refiled its DRHP with SEBI under the pre-filing route. It is also possible that the decision of OYO to extend its US portfolio will affect OYO rooms share price and probably IPO shares in the future.
Will Global Growth Of OYO Affect Its Performance In The Grey Market?
If you are an investor looking to buy unlisted shares of OYO rooms, you might ask how OYO’s global expansion plan will affect its performance in the grey market. Don’t worry; we are here to answer your every question. There are major chances that it will benefit the company as high demand will positively affect OYO rooms share price.
In addition, OYO’s new DRHP filing gives it more leeway at the time of listing and also in fine-tuning the issue size based on the market conditions in the future. The global growth will give the company an extra edge to meet the ongoing demands and increase its revenue while managing the positive financials on the sheet.
There is a chance that the demand for the OYO unlisted shares will increase in the coming months. Investors need to keep an eye on OYO rooms share price and other company financial metrics to make an informed investment decision.
Future Outlook Of OYO Rooms Ltd
OYO, an online hotel aggregator, works towards its global expansion plans, which will benefit the company in the coming years. The company also launched an accelerator program for its first-generation hotelier. From a financial perspective, this global growth of OYO boosts its IPO plans and gets a fair value of OYO rooms share price.
The company also reported its first adjusted EBITDA of Rs 63 crore with 24% growth in YoY value and a 65% increase in monthly booking value per month in H1FY23. OYO’s future goal is to increase its number by leveraging the global demand and strengthening its portfolio. In addition, it is also expected that OYO will record further financial growth in its unlisted shares, which will also benefit its investors.
If we see the company’s long-term growth, OYO rooms share price is expected to increase consistently. OYO unlisted shares can be a profitable investment option for investors who seek long-term growth and profit. However, it is advisable to consider the pros and cons associated with the OYO pre-IPO stocks.
You can get assistance from expert brokers using trusted online unlisted shares broking platforms like Stockify. You can access the updated OYO rooms share price and other financial data on this platform. The expert assistance of certified unlisted share brokers will help you make a profitable investment in Oravel Stays Ltd. So what are you waiting for? Buy unlisted shares of OYO now!