‘Funding Andre, Korean Funding’: Hyundai, Kia, Come Together To Invest In Ola; Mobility Business All Set To Transform Bhavish Aggarwal of Ola and Euisun Chung of Hyundai. (Website/Ola)

South Korean automobile giant Hyundai Motor Group today (19 March) announced that it will invest $300 million in the ride-hailing company Ola to develop India-specific mobility solutions. This investment will be jointly made by Hyundai Motor Company (Hyundai) and Kia Motors Corporation (Kia).

This will be the biggest combined investment to date for the two auto companies as the larger Hyundai Group continues its efforts to become a smart mobility solutions provider.

“India is the centerpiece of Hyundai Motor Group’s strategy to gain leadership in the global mobility market and our partnership with Ola will certainly accelerate our efforts to transform us into a Smart Mobility Solutions Provider,” said Euisun Chung, Executive Vice Chairman of Hyundai Motor Group.

As part of their ‘strategic partnership,’ the three companies - Ola, Hyundai and Kia - will co-create solutions to operate and manage fleet vehicles. According to a company statement, this collaboration will be the “ (Hyundai) Group’s first foray into the industry, as they expand operations from automobile manufacturing and sales to total fleet solutions.”

The trio has also agreed to coordinate efforts to develop cars and specifications that reflect the needs of the ride-hailing market (both users and drivers). Additionally, Ola drivers are also expected to benefit from this partnership through better financial services on car ownership.

Promote Micro-Entrepreneurship

For the India-based Ola, this partnership will help accelerate micro-entrepreneurship in India’s growing pool of aspiring driver-partners. “Ola already hosts over 1.3 million partners on its platform and will further empower hundreds of thousands more,” the company said.

Also Read: Hyundai Stake In Ola Signals Yet Again That Car Business Is Going To Change Forever

An Appeal...

Dear Reader,

As you are no doubt aware, Swarajya is a media product that is directly dependent on support from its readers in the form of subscriptions. We do not have the muscle and backing of a large media conglomerate nor are we playing for the large advertisement sweep-stake.

Our business model is you and your subscription. And in challenging times like these, we need your support now more than ever.

We deliver over 10 - 15 high quality articles with expert insights and views. From 7AM in the morning to 10PM late night we operate to ensure you, the reader, get to see what is just right.

Becoming a Patron or a subscriber for as little as Rs 1200/year is the best way you can support our efforts.

Become A Patron
Become A Subscriber
Advertisement