India’s hospitality unicorn Oyo and its principal backer SoftBank Group have acquired an 80% stake together in Japanese apartment rental operator MDI.
The deal has cost about $100 million according to one person familiar with the matter.
There are about 37,000 rooms operating under MDI management which generated about $1 billion in revenue.
According to an Oyo spokesperson the company aims to ‘leverage MDI’s strong network and business development capabilities in Japan’s real estate market’ the Nikkei Asia Review reports.
Once the deal goes through, Oyo plans to add some of MDI’s listings on the OYOLife room rental platform.
Oyo already has a portfolio of about 2,000 rooms in Japan which is still a relatively new market for the Indian hospitality giant.
Oyo now offers vacation rentals in dozens of countries, which was significantly boosted after its acquisition of Netherlands-based Leisure Group in a $400 million deal.
