Homegrown cab aggregator Ola, is in plans to raise an additional $ 36 million from existing investors according to filings with the Registrar of Companies. The cab hailing operator, which is operated by ANI Technologies Pvt., Ltd., decided to raise these additional funds in a board meeting resolution held on May 29, according to a report in VCCircle.
According to the report, Ola will issue 71,733 shares with a face value of Rs. 10 and a premium value of Rs. 13,511 a piece. The total subscription price will be Rs. 13,521, same as the subscription price allocated in their most recent funding round where they raised $ 104.4 million. Post this round the authorized share capital was also increased from Rs. 5,587.6 crores to Rs. 5,587.8 crores. In accordance with the Registrar of Companies filings, Ola was supposed to raise this sum in the closing hours of May 31 this year. Therefore, it is quite likely that the company may have already raised this amount.
The cab hailing company also raised $ 250 million from the Japanese major Softbank in April this year. The Japanese telecom and Internet giant is currently Ola’s largest investor. In June, the Bengaluru based company raised $ 500 million from a hedge fund based in New York, at a valuation of $ 3.65 billion.
The company was valued at $ 4.8 billion in August 2015, however, by June this year, Ola’s valuation was pegged at around $ 3.5 billion. Earlier this month, it was also reported that multinational technology company Microsoft was also likely to invest $ 50 million to $ 100 million in Ola. According to reports, this deal would also involve a shift to Microsoft’s cloud computing platform Azure from Amazon Web Services.
Ola has been in an intense battle with global cab aggregator Uber to capture the lucrative Indian cab hailing market. They have also recently launched a bike taxi service called Ola Bike in Kolkata, in an attempt to roll out innovations more suitable for the Indian market.