HomeLatestOyo's $525 million acquisition of G6 Hospitality strengthens its North American presence

Oyo’s $525 million acquisition of G6 Hospitality strengthens its North American presence

Oyo’s $525 million acquisition of G6 Hospitality strengthens its North American presence

Hospitality major Oyo has successfully acquired G6 Hospitality, the parent company of Motel 6 and Studio 6 brands, for $525 million. This strategic move adds approximately 1,500 franchised hotels across the US and Canada to Oyo’s burgeoning portfolio, strengthening its foothold in North America. The acquisition comes at a pivotal time for Oyo, as its US operations show promising growth with a presence in 35 states and nearly 400 properties since its 2019 launch.

This acquisition is projected to significantly enhance Oyo’s financial performance. By FY26, the company anticipates its earnings before interest, taxes, depreciation, and amortisation (Ebitda) to surpass ₹2,000 crore. Motel 6 alone is expected to contribute ₹630 crore to Ebitda within the first year of integration. Additionally, the combined entity is forecasted to generate a gross booking value of approximately $3 billion, with G6 Hospitality accounting for $1.7 billion. Oyo’s success in Europe has provided a roadmap for leveraging strategic synergies, ensuring this acquisition drives value creation.

From a sustainability angle, this move underscores Oyo’s commitment to optimising resources and creating operational efficiencies across its expanding global footprint. By integrating sustainable practices and technologies, Oyo aims to set a benchmark for environmentally conscious hospitality. The company’s focus on energy efficiency and waste management in existing and new properties aligns with its broader ESG goals.

This acquisition also highlights broader urban and civic implications. The influx of hospitality investments in North America is expected to boost local economies, create employment opportunities, and improve tourism infrastructure. While Oyo’s valuation currently stands at $4.6 billion, significantly lower than its peak $9 billion valuation in 2021, the acquisition positions the company for long-term growth and resilience in the competitive global hospitality sector.

RELATED ARTICLES

LEAVE A REPLY

Please enter your comment!
Please enter your name here

- Advertisment -spot_img

Most Popular

Recent Comments

Mumbai commercial property sees consolidation driven deal

Mumbai Commercial Property Sees Consolidation Driven Deal

0
A cluster of commercial office units in Mumbai’s Santacruz East has changed hands in a high-value consolidation move, reflecting how investors are reworking ownership...
Mumbai real estate steadies amid global uncertainty

Mumbai Real Estate Steadies Amid Global Uncertainty

0
Mumbai reinforced its position as India’s largest housing market in 2025, closing the year with steady residential absorption and resilient office leasing, even as...
Delhi NCR And Mumbai Reset Property Cycles

Delhi NCR And Mumbai Reset Property Cycles

0
Delhi–NCR closed 2025 as India’s fastest-rising residential price market, even as transaction volumes cooled, signalling a structural shift in how housing demand is shaping...
Gurugram Reinforces Its Lead In NCR Housing

Gurugram Reinforces Its Lead In NCR Housing

0
Gurugram has once again emerged as the central driver of residential growth across the Delhi National Capital Region, underscoring how infrastructure-led planning and disciplined...
DDA Advances Transit Oriented Housing In East Delhi

DDA Advances Transit Oriented Housing In East Delhi

0
The Delhi Development Authority has moved ahead with the second phase of its high-density residential development at Karkardooma, reinforcing a growing shift towards transit-oriented...