Hospitality company OYO is making good on plans to invest $100 million in Indonesia in the next five years.
The company, which announced its launch in Indonesia in late-2018 along with plans to launch in 35 cities by early 2020, says it has now launched in 16 cities.
The India-based company is calling Indonesia its “next mega frontier” after China and is now saying it plans to expand its presence to the top 100 cities by the end of 2019.
OYO claims it will add 70 hotels a month to its chain in the destination.
Founder and group chief executive Ritesh Agarwal says the company’s strategy of taking on Indonesia with a localized mindset has helped its growth so far.
“This localization had helped us in customizing our offering from the point of view of a traveler in the country and what was lacking from his/her experience earlier when OYO was not around.”
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The company has also announced its launch in the Philippines with a statement saying it's investing $50 million in the destination.
So far, the company has a chain of 21 franchised and leased hotels in Manila, Tagaytay and Cebu, and the strategy is to increase to 10 cities over the next year.
The launch brings OYO Hotels global presence to eight destinations including India, China and the United Kingdom.
OYO announced $800 million funding last September with a commitment from investors for a further $200 million. The funds were earmarked for expansion in existing countries and investment technology.