Scooter Rental Service Vogo Gets $100 Million Investment From Ola, To Add One Lakh Bikes To Its Fleet

India’s homegrown ride-hailing app Ola will invest $100 million in Vogo, a scooter sharing network for short haul commute, the two companies announced in a joint statement.

Vogo currently operates in Bengaluru and Hyderabad and has served over 20 million kilometres on its platform. It will use the funds to expand its fleet by adding 100,000 scooters. This infusion will give Vogo a strategic supply advantage without having to incur significant capital expenditure.

Vogo’s offerings will also be made available for Ola’s 150 million customer base, directly from the Ola app soon.

Every Vogo scooter comes with an IoT device that allows the customer to access the key via OTP; this eliminates the need for human intervention and offers consumers a seamless experience. Scooter sharing addresses the twin challenges of pollution and congestion, while also providing a credible alternative to bridge India’s micro mobility needs.

Earlier this year, Vogo raised $6-7 million in a Series A round led by Ola and Hero MotoCorp chairman Pawan Munjal.

Vogo investment is seen as Ola’s big bet to position itself as an integrated platform for urban transportation.

It acquired ticketing and commuting app Ridlr in a transaction pegged at $25 million.

“Ola is committed to building a robust mobility ecosystem in India, creating a deep impact on livelihoods and how citizens get around. Our investment in Vogo will help build a smart multi-modal network for first-last mile connectivity in the country. Vogo’s automated scooter-sharing platform, backed by Ola’s expertise in this space can help transform our cities. Together, we are thrilled to be at the forefront of India’s rapidly growing micro-mobility market," Bhavish Aggarwal, Co-founder & CEO, Ola said in a statement.

“Ola’s deep understanding of mobility and their investment to power additional supply are extremely valuable to Vogo. As we enter into our next phase of growth, we look forward to executing our synergistic vision of the future: smart and sustainable mobility for all.” Anand Ayyadurai, Founder and CEO, Vogo said.