INDIA > Hong Kong based Steadview Capital is set to invest $100 million in India based Ola, a ride hailing company after raising $50 million from two Chinese investors : Sailing Capital and China Eurasian Economic Cooperation Fund
After the new investment from Hong Kong based Steadview capital, Ola is likely to hit $5.5 billion dollar valuation. Ola is striving to become profitable from its core taxi aggregation business, from international expansion and also from its food delivery company under Foodpanda. Steadview Capital is already an existing investor in Ola and is set to invest an additional $100 million as Ola continues its capital raising spree.
Ola has raised $1.1 billion last year valuating the company close to $4 billion.
Ola, which is a competitor of Uber, also raised $50 million from two new Chinese Investors namely: Sailing Capital, an investment fund backed by the Communist Party-owned financial services major Shanghai International Group, and China Eurasian Economic Cooperation Fund.
ANI Technologies is the parent company of Ola as the Bengaluru based company is striving to be profitable under its core taxi aggregation business.
Bhavish Aggarwal, cofounder of Ola with Ankit Bhati, have been fighting to keep his rights from the company’s largest shareholder, Japan based Softbank from increasing its stake. Softbank owns a little over 26% in the company, Aggarwal and Bhati cumulatively hold 13 to 15 % while through Steadview’s investment in 2014, Steadview owns 1.35%.
Ola is believed to complete approximately 1.5 million rides a day nearing Uber’s 1.3 million rides a day in August 2017 according to Analysts. Founded in December 3 2010, Ola is the biggest cab ride mobile application in India.
About Steadview Capital
Headquartered in Hong Kong, Steadview Capital operates as an asset manager and provides advisory services to institutional investors, high net worth individuals and family offices.
About Sailing Capital
Headquartered in China, Sailing Capital was founded by Shanghai International Group and is a private equity firm that invests in merger and acquisition deals overseas and provides funding to overseas operation for China enterprises.
About China Eurasian Economic Cooperation Fund
Founded in 2014, China-Eurasian Economic Cooperation Fund (CEF) is an important equity investment vehicle for further realizing the strategic vision of the Belt and Road Initiative.
Tags: FDI in India, Ola, Steadview Capital, Sailing Capital, China Eurasian Economic Cooperation Fund, Foodpanda