South Korean Automobile giant Hyundai Motors is in advanced talks to infuse $250-300 million in Indian ride-hailing company Ola. Hyundai is expected to garner a 4 per cent stake with this deal, making the valuation of the Ola reach $6 billion.
The deal comes as second investment move from Hyundai in the Indian startup space after it pumped in INR 100 crore in car rental startup Revv in the month of August last year. The deal is expected to finalise by next month as per sources who are observing this development
Automobile giants across the world including General Motors, Ford Motors, Toyota have claimed stakes in ride-hailing firms including Uber and Lyft as they witness dwindling sales.
Homegrown auto giant Mahindra and Mahindra and Ford have invested in car rental firm Zoomcar via multiple rounds of funding. Toyota registered its first investment in India’s startup space in the year 2018 by injecting $30 million in auto services company Droom last year.
Hyundai comes as the newest backer for Ola which has already witnessed massive investment from VC giant SoftBank.
