Tata Sons’ chairman emeritus Ratan Tata has invested an undisclosed sum in Ola Electric Mobility Pvt Ltd (Ola Electric) as part of its Series A round of funding. Tata was also an early investor in ANI Technologies Pvt Ltd, Ola’s parent company.
The investment – part of the company’s ongoing Series A round – comes close on the heels of a ₹400 crore fund infusion by Tiger Global and Matrix India, who are among the early backers of the online transportation network company
In a statement, Ola said the investment would bring Ratan Tata’s “deep experience and mentorship to the company’s ambitions to make electric mobility viable at scale”.
“Mr. Tata’s investment in Ola Electric is a significant endorsement of the company’s approach to developing an electric mobility ecosystem, including innovations in charging infrastructure, swapping models, and market-appropriate products. Ola Electric is currently running several pilots involving charging solutions, battery swapping stations, and deploying vehicles across two, three and four-wheeler segments,” the company said in a statement.
Speaking on his investmet, Tata said, “The electric vehicle ecosystem is evolving dramatically every day, and I believe Ola Electric will play a key role in its growth and development.”
Bhavish Aggarwal, Co-founder & CEO, Ola said, “Mr Tata has been an inspiration and a mentor to me personally in shaping Ola’s journey over the years. I’m very excited to welcome him on board Ola Electric as an investor and a mentor in our mission of building sustainable mobility for everyone on our planet. He is a visionary who has inspired a generation of entrepreneurs and we are privileged to have his guidance and support once again, as we work towards our goal of a million electric vehicles in India by 2021.”
The company statement said Ola Electric Mobility Pvt Ltd raised a sum of Rs 400 crore led by several of Ola’s early investors, Tiger Global and Matrix India and others, as part of its first round of investment.
Ola Electric has been running several pilots, ranging from charging solutions to battery-swapping stations to development of viable EV infrastructure.
Hyundai Motor, India’s second largest passenger car company after Maruti Suzuki, is said to be negotiating an investment in ride-sharing company Ola for a possible 4 per cent stake. The investment size of $250-$300 million values Ola around $6 billion.
The strategic investment by Hyundai is focused on creating a strategic partnership between ANI Technologies Pvt, Ola’s parent, and the South Korean automaker’s Hyundai and Kia operations. The trio will collaborate on creating and managing a fleet with financing and insurance benefits for drivers. They will also work on developing electric vehicles and charging infrastructure for the Indian market.