Ola, the Indian-based ride-hailing startup that competes with Uber, has generated a $500 million from investors, according to a Thursday (Dec. 16) report from Reuters.
The company first announced its intent to raise $500 million in July ahead of a planned initial public offering (IPO), according to PYMNTS.
Ola is looking to broaden its cab service across different regions and into various categories, PYMNTS reports.
The Bangalore-based company was founded in 2011 by Chairman and CEO Bhavish Aggarwal and his Indian Institute of Technology classmate Ankit Bhati.
Besides its service in India, Ola offers rides in Australia, New Zealand and the UK.
Related: Ride-Hailing App Ola Prepares For $500M IPO
In 2020, Ola debuted its service in London during a time when Uber was facing the possibility of having its service banned in the country, according to PYMNTS.
Read more: India’s Ola Enters London To Rival Uber
Since then, Uber has been operating under an 18-month license in London.
In 2019, Ola announced plans to build a technology center in Silicon Valley, near where Uber is located, according to PYMNTS. Ola said at the time that it would hire 150 more engineers for the center, which would be used for researching everything from electric cars to autonomous vehicles and artificial intelligence (AI).
See more: Ola Ride-Hailing Startup To Build Silicon Valley Tech Center
Hyundai Motor Group and Kia Motors Corp. in March 2019 invested $300 million into Ola as part of a strategic partnership, PYMNTS reported.
As part of the joint effort, the companies had planned to work together to develop a fleet of vehicles and smart mobility solutions, as well as build electric vehicles and infrastructure specific to India.
You may like: Ola Gets $300M Investment From Hyundai, Kia
The company’s forward momentum is all leading up to a planned IPO expected to generate $1 billion in the first half of 2022, according to Reuters.
Ola’s loan issuance received an astounding response from investors, with potential commitments totaling $1.5 billion.
The company began deliveries this week of its electric scooters and intends to list its electric vehicle business at another time.
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