OYO, the hospitality unicorn has confirmed acquiring Copenhagen-based data science firm Danamica for an undisclosed sum. With the deal, OYO wants to expand its presence in the European market. While both the parties are not disclosing the deal amount, as per Crunchbase, the Delhi-headquartered firm is paying around $10 million for the acquisition.
Danamica was founded in 2016 by Mads Westberg and Rune Larsen where they have developed machine learning tools and “business intelligence capabilities” to help property owners in dynamic pricing.
The firm through a statement said that "OYO Hotels & Homes, the world's third-largest and fastest-growing hotel chain, has acquired Danamica, a Copenhagen-based data science company, with machine learning and business intelligence capabilities, specialized in dynamic pricing. Additionally, Oyo and its real estate partners around the world will benefit using data sciences for improved yield. Starting with Europe, Danamica's technology innovations will benefit Oyo's global vacation homes business"
OYO Vacation and Urban Homes' global head Maninder Gulati talking about the deal said, "Data sciences across pricing, AI and imaging sciences have been a cornerstone of OYO's proprietary revenue enhancement technology. It's also a huge missing piece in the way traditional vacation rentals industry is run. We are glad to have found Danamica, which has built expertise in these areas."
Mads Westberg and Rune Larsen through a statement said that they are excited about the deal. "Like OYO, we recognize the untapped potential in the vacation rental industry that can be fulfilled with a data-driven approach. We are therefore confident that we have found the right home for us in OYO and are excited about the prospect of using our expertise in pricing and machine learning to further help OYO's continued growth and success," the founder duo said through the statement.
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