Singaporean state-owned investment firm Temasek and private equity firm Warburg Pincus have purchased $500m of shares in Ola, the India-based ride hailing service provider backed by several corporates, the Economic Times reported today.
The capital went to a secondary share purchase in which Tiger Global Management and Matrix Partners India, which collectively owned 13 to 15% of Ola, divested shares, according to people with knowledge of the matter.
Ola provides on-demand ride services in more than 250 cities across India, the UK, Australia and New Zealand through a mobile app which allows users to book a range of transport services including bicycles, rickshaws and metered cabs.
Reports in late 2019 suggested Ola intended to begin preparations for an initial public offering in early 2021, although updates on the plans have yet to materialise.
The company spun off its electric vehicle division, Ola Electric Mobility, which is also backed by internet and telecommunications group SoftBank, Tiger Global and Matrix Partners India, in early 2019.
Ola has raised roughly $2.6bn in primary funding since it was founded in 2011. Its most recent capital injection was an $11.4m extension to a series J round in July 2019 that increased it to approximately $542m in size.
The series J investors included automotive manufacturers Hyundai and Kia as well as Steadview Capital, Sailing Capital, China-Eurasian Economic Cooperation Fund, Lyon Assets, J3T Ventures, DIG Investment, Deshe Holdings and assorted individuals.
The company had secured $1.1bn in a funding round in 2017 that featured $400m from internet group Tencent and additional backing from SoftBank, RNT Capital Advisors, Falcon Edge Capital and Tekne Capital Management.
Ola picked up $500m in series F funding from China-headquartered peer Didi, SoftBank, Baillie Gifford, Falcon Edge Capital, Tiger Global and DST Global in 2015. Its early investors include Matrix Partners India, Sequoia Capital, Accel, Vanguard Group, JS Capital, Parkwood Bespin, ABG Capital and Fii Ltr Focus Fund.