This fresh round of funding is separate from the recent $1.5 billion share buyback orchestrated by Agarwal
Oyo is likely to ask more employees to leave in the coming weeks, as the hotel and hospitality aggregator looks to streamline its operations and focus on profitability. Employees between 100 and 150 are likely to be affected in this round of job cuts.
The bulk of this fresh round of layoffs will be from its cloud kitchen business, which has about 200-300 employees in India.
Last year, Oyo had dabbled cloud kitchens, or cooking only to fulfil orders placed through food ordering portals like Swiggy and Zomato. It launched four cloud kitchen brands — Adraq, O Biriyani, Paratha Pandit and Master of Momos. "The company had started these kitchen on an experimental business, and as the focus shifts to showing profitability under pressure from investors, about 50 per cent of the people from the cloud business will be asked to leave," said a person aware of the issue, who did not wish to be named.
Of the four, the Biriyani business is the one the hospitality firm will most likely keep, given they receive higher orders, this person said. In the beginning of this week, Oyo was learnt to be letting go of about 1,000 people in India as it looks to streamline its operations across job roles and locations in India.