PRISM-backed Oyo Assets has secured fresh capital as investor appetite returns to India’s organised hospitality space. The company, which operates under the name Sunday PropTech and serves as the asset-holding arm of OYO parent PRISM, has raised Rs. 125 crore in a funding round led by InCred, according to a PTI report.
The investment comes at a time when domestic travel, premium leisure demand and branded mid-market hotels continue to see steady growth. Sunday PropTech has positioned itself in that sweet spot: it acquires, develops and operates hotels in the premium and mid-premium segments across major leisure and business destinations. With organised capital increasingly flowing into hospitality, the company is looking to scale its portfolio at a faster clip.
InCred’s Chief Investment Officer Saurabh Jhalaria told PTI that the platform’s early performance shows “resilience, consistent cash flows and clear unit-level profitability” in a sector that has often struggled with fragmentation and uneven asset quality. He added that Sunday PropTech’s strategy and disciplined execution make it stand out at a time when investors are seeking stable, income-generating assets.
The fresh equity infusion is expected to strengthen the platform’s ability to expand its footprint and improve asset management capabilities. The company has set a target of acquiring 12 hotels in the current financial year, with seven already in advanced stages of negotiation. Most of these are expected to be concentrated in high-demand leisure markets, business hubs and emerging tourist circuits.
As part of its expansion, the new hotels will operate under PRISM’s family of brands, including Sunday Hotels, Palette Hotels, Townhouse and select US-based brands. This multi-brand structure gives the company flexibility to position each property according to its location, price point and demand profile.
The timing of the fundraise aligns with a broader shift in the hospitality sector. Travel has rebounded, hotel occupancies have stayed firm, and average room rates have held up even during the traditionally slower months. Investors have begun to view hospitality assets as more stable than they were a decade ago, helped by better technology, improved cost structures and rising domestic travel.
For Sunday PropTech, the capital unlocks the ability to chase larger acquisitions and secure attractively priced properties before competition intensifies. Many independent hotels across India are exploring brand affiliations or outright sales, driven by the rising cost of renovations and the growing preference among travellers for branded stays. This gives platforms like Sunday PropTech a pipeline of opportunities that can be consolidated under a structured, professionally managed umbrella.
The company’s expansion also fits into a larger trend: a gradual shift of the hotel sector away from standalone ownership toward institutional platforms that can drive operational efficiency and scale. By acquiring and managing its own assets, Sunday PropTech is betting on long-term returns rather than the asset-light model widely adopted by several hospitality players in the previous decade.
The next phase will depend on how quickly the company can complete the upcoming acquisitions and bring them to market under PRISM’s hotel brands. With investor confidence improving and travel demand remaining steady, the fundraise positions Sunday PropTech to move aggressively in a sector that is consolidating faster than expected. Whether this momentum continues will depend on execution and the pace at which new, high-quality assets are brought into the fold.
