Oyo will reportedly pay €369.5m ($415m; £317.9m) for @Leisure.

The Indian firm has grown rapidly since its launch in 2013 and claims it is the world's sixth largest hotel chain.

Founded by Ritesh Agarwal, now 25, Oyo has received funding from Japanese conglomerate Softbank as well as Airbnb.

Last month the firm secured a "strategic investment" from Airbnb, reportedly valued at $100m. Oyo operates budget hotels as well as rental homes across countries including China, US and UK, as well as India.

The company hopes to expand its reach in the European holiday market with its acquisition of @Leisure - which manages homes, parks and apartments - from German media firm Axel Springer.

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