OYO Hotels & Homes launches operations in the Kingdom of Saudi Arabia
OYO Hotels & Homes announced the start of its operations in the Kingdom of Saudi Arabia on the sidelines of the Saudi-Indian Forum. OYO welcomes His Royal Highness King Salman bin Abdulaziz Al Saud, and his delegation of reputed leaders from the Kingdom of Saudi Arabia who are travelling to India. Reiterating its commitment to the Kingdom of Saudi Arabia, OYO also signed an MoU with the Public Investment Fund, Saudi Arabia attesting to the business potential it sees in the market.
Commenting on OYO’s entry into the Kingdom of Saudi Arabia, Governor of the Saudi Arabian General Investment Authority (SAGIA) HE Ibrahim bin Abdul Rahman Al-Omar, said, “It 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 Arabia’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.”
The hospitality sector in Saudi Arabia, a significant beneficiary of the Saudi government’s measures is aimed at bolstering business networks through its focus on pilgrims, sports and entertainment. 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. OYO, therefore, aims to partner in the Saudi Government’s 2030 vision and will be working towards transforming the hospitality industry in the region.
Commenting on the developments, Ritesh Agarwal, Group CEO and Founder, OYO Hotels & Homes, said, “We 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.”
“We 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 Arabia’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 government’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,” he added.
Mr. Ziyad Al Ashaikh, Head of Saudi Arabia for SoftBank Investment Advisers, added, ”In delivering on its mission to provide good quality accommodation at affordable prices, OYO has grown exponentially to become the largest hotel chain in South Asia. We are delighted to support the company in its commitment to creating beautiful and affordable living spaces as well as investing in long-term job creation in the Kingdom of Saudi Arabia.”
Manu Midha, Region Head, OYO Hotels & Homes, Kingdom of Saudi Arabia, said, “We are honored and deeply thankful to SAGIA and PIF for providing us an opportunity to support Vision 2030 and manage quality accommodations for pilgrims to the holy cities. We are also excited at the prospect of bringing our brand of reliable quality living spaces to more and more cities in Saudi Arabia. KSA is an attractive market with sizeable internet and mobile presence, which complements our approach. We’ve received an overwhelming response to OYO’s offerings in the country since our soft launch and look forward to hosting more guests in the coming years.”