Hospitality startup OYO has acquired Mumbai-based Weddingz, a wedding planning startup, in a cash-and-stock deal, while the financial details of the deal remain undisclosed. This marks OYO’s third buyout this year.
With this acquisition, the Softbank-backed startup is looking to strengthen its wedding vertical. Last month, OYO had forayed into the wedding industry with its new venture ‘Auto Party’.
OYO is not looking to rebrand Weddingz, as it has absorbed the startup’s entire workforce of around 200 employees.
“We look at supply—whether it’s hotels, homes or banquets— and are always interested in companies that have it and operate in a very similar manner to OYO. The technology and distribution capabilities are the other two critical areas for us when we look at potential acquisitions, and Weddingz fit the bill on all three,” said Maninder Gulati, chief strategy officer at OYO.
He further added, “They have a great presence and brand call. What we want is, other entrepreneurs operating in areas that are of interest to us, to approach us and build and innovate with us.”
Weddingz was founded by former IIT-Delhi and Wharton School alumnus Sandeep Lodha, along with Sourabh Ladha in 2015. It provides an online marketplace for wedding venues and vendors. It counts Singularity Ventures and Sixth Sense Ventures, along with Rajan Anandan, Managing Director, Google India, among its backers.
The startup is currently operational in cities like Mumbai, Bengaluru, Delhi, Pune, Hyderabad, Jaipur, among a few others.
Last month, OYO had acquired Mumbai-based IoT company AblePlus, as it ventures into the IoT space to enhance customer experience. It had also acquired Chennai-based service apartment operator Novascotia Boutique Homes in March.
According to US-based venture capital firm CerraCap Ventures, Indian wedding-related services industry is estimated to be worth $40 billion.