Ola to get ammunition to counter rising Uber; may get $400 million investment from Tencent
Jul 27, 2017, 11:22 IST
Ola is likely to get an investment of $400 million from China’s Tencent and if the talks between both the sides are successful, this investment will give the Indian ride hailing app more ammunition to counter rising Uber.
As per various reports, if Ola gets the investment from Tencent, the former will then have more than $800 million in total fresh funding, pushing Ola's valuation to more than $4 billion.
"Tencent executives were in Bangalore last week and they met the Ola management team to discuss the transaction. Ola has also held talks with US technology giant Microsoft to participate in the current round," one of the people in the know how told ET.
Tencent, which is also Flipkart’s investor, will become one of the sought-after investors in India if its deal with Ola gets finalised.
The entry of Tencent will also help Ola curtail influence of it's largest shareholder Softbank, which is reportedly in talks to invest in Uber.
So far, Ola has raised funds from Ratan Tata's venture fund RNT Capital Advisors, US hedge fund Falcon Edge, SoftBank, and New York-based hedge fund Tekne Capital Management.
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As per various reports, if Ola gets the investment from Tencent, the former will then have more than $800 million in total fresh funding, pushing Ola's valuation to more than $4 billion.
"Tencent executives were in Bangalore last week and they met the Ola management team to discuss the transaction. Ola has also held talks with US technology giant Microsoft to participate in the current round," one of the people in the know how told ET.
Tencent, which is also Flipkart’s investor, will become one of the sought-after investors in India if its deal with Ola gets finalised.
The entry of Tencent will also help Ola curtail influence of it's largest shareholder Softbank, which is reportedly in talks to invest in Uber.
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