India Digest: OYO acquires Innov8; Lemon Tree to buy Keys Hotels

While OYO Hotels has acquired co-working spaces provider Innov8, Lemon Tree Hotels has bought Keys Hotels in India from Berggruen.

OYO Hotels acquires Innov8

In a bid to diversify its offerings, budget hotels firm OYO Hotels and Homes has acquired co-working spaces provider Innov8 for around Rs 150-200 crore, said a Business Standard report quoting sources.

According to the news report, OYO has also launched two new co-working brands—PowerStation and WorkFlo. The Gurgaon-based firm aims to open more than 35 new co-working spaces in major metro cities over the next year.

Innov8 will continue to operate as a separate brand, it added.

Innov8 raised $4 million in a pre-Series A round led by Credence Family Office in October last year. The startup also counts Paytm founder Vijay Shekhar Sharma, Google India head Rajan Anandan, and Anand Chandrasekaran, the global director of platform and product partnerships for Facebook, among its investors.

Lemon Tree Hotels signs pact to acquire Keys Hotels from Berggruen

Lemon Tree Hotels has signed a non-binding term sheet with Mauritius-incorporated Berggruen Hotels and Berggruen Investments, which builds and operates hotels under the Keys brand, to acquire a 100 per cent stake in Keys Hotels in India.  

No financial details were provided.

Keys Hotels portfolio includes 21 owned/managed hotels with 1,911 rooms in 19 cities in India. The company also owns two land parcels for hotel development in Goa and Raipur. It operates three brands – Keys Prima Hotels, Select Hotels, and Lite Hotels – to cater to the mid-scale and economy hotel segments.

OYO Hotels was also reportedly keen on acquiring the hospitality chain.

Also Read:

Oyo in advanced talks to buy Innov8

India’s Oyo Rooms in talks to acquire Keys Hotels from Berggruen: Report