The new round of financing for budget hotel chain OYO has been blocked.

Jianemian News learned from people who have recently participated in OYO’s investment in China，Sequoia China was interested in investing in OYO China，But decided to withdraw from this financing after due diligence。

“Sequoia originally wanted to do due diligence among the hotel owners that OYO cooperates with，But we talked about more than a hundred hotels，Less than 10 hotels that can accept due diligence，These hotel owners all claim 188bet online sports betting that OYO has not brought them any value improvement”，The above person said。

Jiemen News consulted Sequoia China on this matter，Sequoia China said it had no comment。

An insider within OYO told Jiemian reporters，OYO’s latest round of financing is currently planned to be independently financed by a Chinese company，But there is no more information to disclose at the moment。

Sequoia India was once one of the main investors of OYO。March 2014，OYO gets Greenoaks、Sequoia、Lightspeed $25 million financing；August 2016，Received investment led by SoftBank，Sequoia Capital、Greenoaks、USD 62 million from DSG and Venture Nursery。

Earlier，According to Times of India，OYO is currently negotiating with investors (including new investors and existing investors such as SoftBank) for a new round of financing of US$1 billion。If the next financing is successful，will make OYO’s valuation reach 10 billion US dollars。

But judging from the current 188bet app download situation，OYO’s financing difficulty in China is becoming more and more difficult。Interface News once reported，OYO is currently experiencing layoffs，Fake，The turbulent situation of the local team。

On the other hand，The amount of funds needed by OYO China is also increasing sharply。For example, the recently announced settlement with Ctrip and Meituan，OYO will pay a cost of 600 million yuan，And full payment is required。Meanwhile，OYO will promote China2.0，That is, guaranteed price control，Hope to guarantee a minimum income for hotel owners，Then OYO takes over their prices and cash flow，This will also result in large-scale capital expenditure。

Titanium Media’s recent report stated，Due to financing difficulties，OYO founder Li Taixi is currently trying to pledge equity，Seeking US$800 million in support from SoftBank for expansion in the Chinese market。

It’s no exaggeration to call OYO a “financing monster”。February this 188bet online sports betting year，SoftBank leads OYO’s financing of more than US$1 billion；December last year，Singaporean ride-hailing giant Grab invests US$100 million；February this year，Chinese ride-hailing leader Didi Chuxing invests US$100 million；March，Airbnb also invested US$75 million in OYO。The current valuation is 13 times that of SoftBank when it first invested in 2015。

But judging from the two years since OYO entered the Chinese market，There is still a certain gap between reality and expectations。Facing the chaotic Chinese market，Including SoftBank，Will investors including Sequoia continue to increase their investment in OYO，It’s still unknown，This young team also needs to make changes。

188bet sports betting app download Source: interface, Author:Lin Teng, original title: "[Exclusive] Sequoia Capital was interested in participating in OYO’s new round of financing，But decided to quit after due diligence》.