OYO, a global travel tech company, has made a significant leap by acquiring G6 Hospitality—the operator of Motel 6 and Studio 6 brands—from Blackstone Real Estate for $525 million. This strategic acquisition not only strengthens OYO’s North American footprint but is also set to boost its financial performance, with the company projecting an EBITDA of over Rs 2,000 crore ($238 million) in FY26.
Expanding in North America
The addition of approximately 1,500 franchised hotels across the United States and Canada marks a major milestone for OYO. Motel 6 alone is expected to contribute an EBITDA of over Rs 630 crore ($75 million) in the upcoming financial year, its first full year under OYO’s management. The combined entity is projected to generate a Gross Booking Value (GBV) of approximately $3 billion, with G6 Hospitality contributing $1.7 billion to this total.
Strengthening European Presence
OYO has also bolstered its European operations through strategic acquisitions under its OYO Vacation Homes (OVH) segment. The company manages over 184,000 properties across Europe, the US, the UK, Southeast Asia, and the Middle East, with Europe being a key focus market.
Key brands in OYO’s European portfolio include:
- DanCenter: A vacation home management company overseeing 12,000 properties in Denmark, Sweden, Norway, and Germany. Acquired in 2019, DanCenter has doubled its revenue and market presence since integration.
- Belvilla: Managing 65,000 holiday homes across 20 countries.
- Traum-Ferienwohnungen: An online vacation rental platform listing 100,000 homes.
- Direct Booker: Acquired in 2022, this Croatian vacation rental platform manages 3,200 homes.
- CheckMyGuest: A Paris-based premium vacation rental company acquired recently to strengthen OYO’s position in France.
Integration and Technological Advancements
The integration of G6 Hospitality and OYO’s European operations will be supported by a 300-member product specialist team, focused on leveraging technology to enhance guest experiences and operational efficiency.
Aiming for Market Leadership
OYO’s aggressive acquisitions and integration plans underscore its ambition to become a dominant player in both North American and European hospitality markets. With G6 Hospitality’s established brand presence and OYO’s technological edge, the company is poised for significant growth in the global travel and hospitality sector.
