Embassy Group's Hospitality Arm Eyes $20 Million Investment to Boost Growth
Olive, the co-living and hospitality arm of Embassy Group, is seeking a strategic investor for a $20 million fundraise to enhance its offerings and tech infrastructure.
Embassy GroupOliveCo LivingHospitalityStrategic InvestorReal Estate MumbaiJul 03, 2024
Olive presently operates 55 co-living and hotel properties across Bengaluru, Mumbai, and Goa, with a total of 2,688 keys. The company has plans to add another 5,001 keys to its portfolio. Olive operates four sub-brands, including Olive Life, Olive Zip, Olive Hotel, and Villa Olive, ranging from co-living and budget stays to luxury resorts, hotels, and villas.
In terms of business performance, Olive is looking to double its revenue in the ongoing financial year (2024-25) from the ₹51 crore clocked in the last fiscal. The company has already achieved 40% of its target in the first quarter of this financial year. However, Olive is running late on its initially anticipated timeframe of turning profitable by June 2024, owing to a lag in construction timelines.
The Bengaluru-headquartered real estate major, Embassy Group, had pledged an investment of ₹2,000 crore into Olive back in 2020. However, so far, less than 5% of this fund has been deployed. Luxury stays fetch anywhere between ₹15,000-40,000 per unit into the company's kitty. Presently, 90% of the brand's business comes in the form of short stays.
Information Embassy Group is a leading real estate developer based in Bengaluru, with a presence across India. The company is known for its commercial, residential, and hospitality projects.
Olive is a co-living and hospitality brand that offers a range of stays, from budget-friendly options to luxury resorts, hotels, and villas. The brand aims to provide a unique and comfortable living experience to its guests.
Frequently Asked Questions
How much is Olive looking to raise in funding?
$20 million
What is the current number of keys operated by Olive?
2,688 keys
How much revenue is Olive looking to generate in the ongoing financial year?
Double its revenue from the last fiscal year (₹51 crore)
What is the expected timeline for Olive to turn profitable?
By the end of 2024
How much has Embassy Group invested in Olive so far?
Less than 5% of the pledged ₹2,000 crore
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