Soon after getting $50 million capital infusion from Hong Kong-based Sailing Capital and China-Eurasian Economic Cooperation Fund (CEECF), cab-hailing firm Ola has got fresh funding of Rs 50 crore from its parent entity ANI Technologies.
According to data sourced by Paper.vc via RoC filing, Ola raising fresh funds is a part of the SoftBank company’s plan to raise about $1 billion for foraying into global markets, reports Financial Express.
During the recent capital infusion, Ola was valued around $4.3 billion when the Chinese investors reportedly picked up a little over 1 per cent in the Bengaluru-based company.
The development also paves way for the company to move into the other offshore market such as the Netherlands. The company had recently started its business in Australia, UK, and New Zealand.
The report further added that Ola is looking to grab the opportunity where its rival Uber is has been facing regulatory issues.
Uber’s Uberpop service was declared illegal by a judge and the transport ministry in the Netherlands as it allowed unlicensed drivers to use their cars as taxis. However, it was later allowed to operate in the region with some restrictions.
Now, Ola is building a team and shaping up its product portfolio in the Netherlands and also working with government officials. The company is negotiating with the government over the commission rate it will charge in the country.
Apart from raising funds from parent’s entity and China’s investors, Ola is planning to raise funds from Temasek in a separate deal, which will be a combination of primary and secondary capital.