Ola, a multinational ride-sharing company, in a CNBC interview has disclosed its plans to enter the public market next year. The deadline for the first public offering, however, remains to be determined.
Ola desires to offer Ola and Ola electricity to the public markets. Bhavish Aggarwal, founder, Ola, said both companies would go public in sequential order, anyways Ola would go ahead of Ola Electric, given the growing business.
Aggarwal’s statement comes in the wake of a $500 Mn fundraise from Temasek and Plum Wood Investment ahead of its IPO, which it announced in October 2019.
Ola was launched in 2010 by Bhavish Aggarwal and Ankit Bhati with a mission to build mobility for a billion people. The platform serves more than 250 cities across India, Australia, New Zealand, and the UK. It has 1.5 Mn Empowered entrepreneurs as driver-partners on the platform and 7000+ workers who try to provide the best in technology.
Before that, it had also announced its plans to extend its ESOP pool to INR 3000 Cr and allocate additional stocks worth INR 400 crores to its employees.
The ride-hailing industry in India is expected to see an expansion growth of $285 Bn by 2030. Excluding Uber (one of the leading competitors to Ola). Ola still faces competition from other platforms like Quick Ride, Shuttl, Blu Smart, among others.
Like any other industry, the ride-hailing platform has also faced severe losses due to the pandemic in place for several months. Due to which the platforms were forced to put a halt on their services in many cities. However Ola has seen a recovery by 60% after the reopening of states,
cab aggregators have reportedly been facing the loss of demand and this could be a problem for startup’s revenue for another fiscal year.