Oyo Hotels and Homes has announced that it has commenced operations in the Kingdom of Saudi Arabia on the sidelines of the Saudi-Indian Forum. Oyo will start with over 50 signed full-inventory - franchised exclusive hotels and over 3,000 rooms in 7 cities in KSA.
These properties will be operated under the franchise model, with full inventory control similar to other markets like India and China; provide affordable and trusted living options for travelers from GCC countries, India and other International tourists, including business and pilgrimage travelers.
With the latest launch, Oyo is now present in 9 countries, i.e. India, Nepal, China, Malaysia, Indonesia, UAE, UK, Philippines and the Kingdom of Saudi Arabia.
â€śIt is also noteworthy that OYO is one of the first Public Investment Fund of Saudi Arabia and SoftBank Vision Fund backed company to start operations successfully in Saudi Arabia, with the support of Prince Mohammed bin Salman, the Public Investment Fund and Saudi Arabiaâ€™s General Investment Authority (SAGIA). The company obtained its foreign investment license from SAGIA a few months ago and plans to invest significantly in Saudi Arabia, and expand to over 17 cities across 6 provinces by 2020,â€ť Governor of the Saudi Arabian General Investment Authority (SAGIA) HE Ibrahim bin Abdul Rahman Al-Omar, said in a statement.
Oyo says it aims to partner in the Saudi Governmentâ€™s 2030 vision and will be working towards transforming the hospitality industry in the region. According to a report released ahead of the Arabian Travel Market 2018 (ATM), Saudi Arabia is slated to see about 13.5% compound annual growth rate (CAGR) by 2022, driven by pilgrims, sports and entertainment.
â€śWe believe OYO hotels is re-engineering quality living spaces for the world and has emerged as the dependable hospitality brand of choice. We are humbled and happy to bring this standardized quality experience to the Kingdom of Saudi Arabia where millions of people undertake the pilgrimage of a lifetime,â€ť Ritesh Agarwal, Group CEO and Founder, Oyo Hotels & Homes said.
â€śWe are committed to creating quality, affordable living spaces, and thousands of jobs for the young people of Saudi Arabia It has been our long-standing belief that provided with the right direction and tools, smaller assets can also generate positive returns. This expansion, therefore, is in line with our quest to support Saudi Arabiaâ€™s blossoming hospitality ecosystem and creating infrastructure for asset owners to grow and run successful businesses, all of this while ensuring high standards of quality. We want to thank his majesty the custodian of the two holy mosques King Salman bin Abdulaziz Al Saud, his Royal Highness Prince Mohammed Bin Salman, and Saudi Arabian General Investment Authority (SAGIA) for their continued support, guidance, and encouragement, as we worked through our expansion plans for Saudi Arabia. We are honored and delighted to support the Saudi governmentâ€™s vision 2030 for the Kingdom of Saudi Arabia, and are committed to continuing investing in the multi-billion dollar opportunity in the hospitality industry in the country,â€ť he added.
Oyo Hotels & Homes in Saudi Arabia is currently run by a majority of young Saudi nationals, and the company plans to create jobs for over 5,000 Saudi citizens by 2020. Oyo will also set up two Oyo Skill Institutes, one in Riyadh and in Jeddah to train Saudi graduates in hotel management.