Safestay (LSE:SSTY) has agreed a strategic marketing partnership with Zostel, India's largest hostel network, to broaden distribution and cross-referral between their platforms.
Under the non-equity marketing agreement 82 Zostel properties will be featured on Safestay.com and 24 Safestay properties will be listed on Zostel.com, with both brands remaining independent.
Safestay, one of Europe's largest hostel groups operating 21 premium hostels and one hotel, supplies European and UK market access and booking distribution while Zostel, a 100+ property, franchise-led network across India, Nepal and Thailand and part of Zo World, contributes its Asian footprint and traveller community.
The partners have codified a jointly agreed framework of minimum service standards covering guest safety, in-room standards, fire safety, equality, safeguarding and data protection, and they intend to develop a joint customer loyalty programme in the medium term.
Initial trials, including Safestay Pisa Centrale and Safestay Goa Morjim listed reciprocally, have completed, around 20 hostels are expected to go live in the first phase within the next week, and full rollout is expected by June.
Management positions the tie-up as a scalable, capital-light route to capture rising long‑haul travel flows after travel from India to Europe grew 17% year‑on‑year in 2025.
"This partnership with Zostel represents an exciting strategic development in extending Safestay's international reach through a scalable, capital-light model," said Larry Lipman, Chairman at Safestay.