Sunday PropTech Raises Rs. 125 Cr to Accelerate Hotel Expansion

PRISM-backed Oyo Assets, operating as Sunday PropTech, has raised Rs. 125 crore in fresh capital, signaling renewed investor appetite for India’s organised hospitality sector.

The funding round was led by InCred, whose CIO Saurabh Jhalaria highlighted the platform’s resilience, steady cash flows, and “clear unit-level profitability”— a contrast to the traditionally fragmented hotel market.

Sunday PropTech focuses on acquiring, developing, and operating premium and mid-premium hotels across major leisure and business destinations, a segment witnessing strong domestic travel demand, stable occupancies, and firm average room rates.

Key Highlights

• Sunday PropTech raises Rs. 125 crore from InCred to scale premium and mid-premium hotel assets.
• The company targets 12 hotel acquisitions this year, with seven already in advanced talks.
• Fundraise strengthens expansion as India’s hospitality sector sees rising demand and consolidation.

The new equity infusion will accelerate the company’s expansion, supporting its plan to acquire 12 hotels in FY26, with seven already in advanced negotiations. These properties will be concentrated in high-demand leisure hubs, business cities, and emerging tourist corridors. All new assets will operate under PRISM’s brand family, including Sunday Hotels, Palette Hotels, Townhouse, and select US-based brands, enabling flexible positioning based on market dynamics.

The fundraise comes amid a broader sector shift—hotels are moving away from standalone ownership toward institutional platforms that offer efficiency, technology-led operations, and scale advantages. Rising renovation costs and growing preference for branded stays are prompting many independent hotels to seek affiliations or exits, creating a strong acquisition pipeline.

Also Read: PRISM Withdraws Oyo Bonus Plan After Investor Backlash

For Sunday PropTech, the capital provides the ability to secure competitive deals, consolidate assets, and pursue larger acquisitions before competition intensifies. With investor confidence improving and domestic travel expanding, the platform is positioned to grow aggressively — though its momentum will depend on execution and timely onboarding of high-quality assets.