OYO Hotels & Homes signs MoU with Saudi Arabian General Investment Authority (SAGIA)

OYO Hotels & Homes signs MoU with Saudi Arabian General Investment Authority (SAGIA)

Marhaba, Saudi Arabia!  

We are happy to announce that on the occasion of World Tourism Day we have signed an MoU with the Saudi Arabian General Investment Authority (SAGIA). As a part of this MoU, we are investing  SAR 4 billion into building luxury hospitality ecosystem across cities in KSA by adding luxury and upper-budget/mid-segment hotels to our chain in the coming months. We opened our doors as the largest hotel chain in Saudi Arabia in February 2019 and within a short period of time we have already expanded our footprint to 14 cities with 6,500 exclusive keys in 130+ hotels as a part of our chain.  With the support of his Royal Highness Prince Mohammed bin Salman, we have also become one of the first companies in Saudi Arabia to be backed by Public Investment Fund (PIF) of Saudi Arabia and SoftBank Vision Fund.

 

Reiterating our commitment to the Kingdom, we will invest up to 4 Billion Saudi Riyals in the region’s hospitality sector for providing trusted accommodation to travellers from GCC countries, India and other International tourists, including business and pilgrimage travellers. With the blessings of His Royal Highness King Salman bin Abdulaziz Al Saud, we also mark our move into offering luxury hospitality in the Kingdom and as part of this MoU, we will  add luxury hotels to our portfolio. We started out with over 50 signed properties across 7 cities that have over 3000 rooms in total. Our Asset owners in the Kingdom will benefit from our full-stack technology-led hospitality model, which provides enhanced occupancy rates of trusted living spaces at an affordable price. Currently, over 130 hotels with 6,500 exclusive keys are a part of our chain which is spread across 14+ cities in the Kingdom.

 

His Excellency Eng. Ibrahim Al-Omar, Governor of the Saudi Arabian General Investment Authority (SAGIA) said, ‘’In Saudi Arabia, the market fundamentals are in place for a vibrant tourism industry, and we believe that the private sector will play a crucial role in unlocking this potential. At SAGIA, our role is to empower and enable domestic and international investors by identifying and developing new opportunities, fostering partnerships and shaping regulatory reforms.”

 

Ritesh Agarwal, Founder and CEO of OYO Hotels and Homes, said, “The luxury segment in the Kingdom of Saudi Arabia holds a lot of promise for us given the rapid growth of the hospitality industry over the last few years. We are honoured to bring OYO’s expertise, our deep understanding of consumers coupled with our operational and technological capabilities to the luxury hospitality segment in KSA. Today, we are hosting guests in over 130+ hotels with 6,500+ rooms as a part of OYO’s chain and 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. This MoU and investment of SAR 4 billion reiterate our commitment of delivering a standardized quality experience to travellers coming to the Kingdom of Saudi Arabia and driving higher yields for small and independent asset owners. Our operations in the region are supported by over 350 Saudi nationals and we are keen to generate employment opportunities for young hospitality enthusiasts in the region. The Kingdom’s hospitality industry offers a huge, untapped opportunity and we’ll continue to invest in it and expanding OYO’s presence in the region.’’

 

Manu Midha, Region Head, OYO Hotels & Homes, Kingdom of Saudi Arabia, said, “We are honoured and thankful to SAGIA for providing us with this opportunity to support the Saudi Government’s 2030 Vision. We are making a significant investment to meet this and transform the region’s hospitality landscape and building luxury hospitality market in various cities in Saudi Arabia while setting best in class benchmark with reference to hospitality service and technology. We look forward to showcasing our signature OYO hospitality and offering guests the unforgettable luxury experiences with our premium hotels.”

 

 

We are committed to bringing great living spaces through over 130 hotels under franchise and lease agreements across 14 cities in Saudi Arabia. Our hotels in KSA are currently being run by a majority young Saudi nationals, and we aim to create jobs for over 5,000 Saudi citizens by 2020. We will be actively contributing towards the diversification of Saudi Arabia’s economy through localizing skills and creating jobs. Further we will also set up 2 training institutes in Riyadh and Jeddah to train hospitality enthusiasts of Saudi Arabia who want to make a career in Hotel management. 

 

aatif.hashmi@oyorooms.com'
Meet the author / Aatif Hashmi