Oyo acquires the co-working space company Innvo8 for INR 220 Crores in an all-cash deal. For the past few months, there was some buzz about this deal. Along with the Innov8, Oyo also launched 2 new co-working brands – PowerStation (for Corporate and large companies) and WorkFlo (for small and mid-sized companies) in the direction of providing the affordable office and workspaces.
This deal comes out with the exit of the founders and investors from the company, but the employee brigade remains intact. Post-acquisition Ritesh Malik, Founder of Innov8 will help the company’s expansion under Oyo. Right now Innov8 has its presence in four cities with 13+ centers and planning to expand in 35 cities after this deal.
Journey of Innov8
Founded in 2015, headquartered in Gurugram – Innov8 has shown tremendous growth under the leadership of Ritesh Malik. Starting with its first co-working space at Connaught Place-Delhi Innov8 is continuously winning the hearts of its customers with its facilities and professional environment.
Dealing in Hot Desk, Dedicated Desk, Private Offices, and Virtual Offices, Innov8 stands itself in the competition of US Co-working giant WeWork. However, it also competes with 91SpringBoard and Awfis.
While gaining the popularity amongst startups and young entrepreneurs, the company has gone under multiple funding rounds and mentorship of industry leaders like Rajan Anandan (VP India and Southeast Asia, Google), Vijay Shekhar Sharma (founder and CEO, Paytm), Girish Mathrubootham (founder and CEO, Freshdesk) and others.
Acquisition Game of Oyo
Innov8 is the fourth big Aquisition of Oyo. According to the sources Oyo has $1.1 Bn in its balance sheet and spend between 150 to 200 crores for the acquisition. Oyo has spread its wings in 10 countries, over 500 cities, 5 Lacs+ rooms and with the growth rate of 400% on a yearly basis.
- Innov8 – Coworking space company – Acquired on March 15, 2019
- Weddingz.in – Online platform to book venues/vendors for your wedding day – Acquired on August 11, 2018
- AblePlus – IoT enabled solution provider in the hospitality sector – Acquired on July 10, 2018
- Done Thing – On demand chat-based service – Acquired on March 13, 2018
Innov8 already has very strong feet in the coworking domain and holds the top position in India, this acquisition will pace up the expansion and overall hold of the company in India and possibly overseas.