Ola, the on demand transportation app has raised $500 million led by Baillie Gifford, Falcon Edge Capital, Tiger Global, SoftBank Group, DST Global and China’s biggest taxi aggregator Didi Kuaidi. The funding will be used to fuel supply initiatives, build supply capacity and to navigate deeper into existing markets with a focus on building mobility for a billion people.
Bhavish Aggarwal, cofounder and CEO, Ola said on this development:
“As we pursue our mission to build mobility for a billion people, we are excited about bringing on-board partners who can help us get there faster. We will continue to build for the local market through innovative solutions like Ola Share, Ola Prime and Ola Money, as we grow the mobile ecosystem in India.”
Ola has raised the series F fund at a valuation of over $5 billion. With this latest funding Ola has closed over $1.3 billion of external funding, of which about $1.2 billion has been raised over the past year.The company claims that it has grown by over 30 times in the last one year, now clocking over 1 million booking requests a day.
Ola has over 275,000 cabs, 75,000 auto-rickshaws, apart from Kaali Peeli taxis and yellow taxis registered on its platform across 102 cities in India. The company also aims to be a one-stop transportation solutions provider and hence after cabs and auto-rickshaws, the firm has rolled out shuttle bus services by on-boarding chartered and tourist buses on its platform.
Ola’s revenue has been boosted in part by the $200-million acquisition of rival TaxiForSure, whose revenues have doubled since the deal closed in March this year. This acquisition was also strategic in terms of getting a lead over its arc rival Uber. Ola now claims to have the 80% share of the market.
Ola competes with San Francisco based Uber in India.