Ola Electric Mobility – Investment by Ratan Tata

Ola Electric Mobility – Investment by Ratan Tata

Ratan Tata invests in Ola Electric Mobility in personal capacity.

Ratan Tata’s investment in Ola Electric is a significant endorsement of the company’s approach to developing an electric mobility ecosystem. 

Ola’s announcement :

Ola Electric Mobility announced that Ratan Tata, Chairman Emeritus of Tata Sons, has invested in the company as part of its Series A round of funding. This investment is in Ratan Tata’s personal capacity in the newly formed Electric Mobility company.

Tata is also an early investor in ANI Technologies Pvt Ltd, Ola’s parent company. 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.

Investment details are still under wraps.

Ola Electric Mobility :

The company has a charter to develop platforms and infrastructure to make electric mobility a reality at scale.

Ola-backed Ola Electric Mobility, which develops solutions to make electric mobility viable at scale  raised Rs.400 crore in its first round of investment led by several of Ola’s early investors, Tiger Global and Matrix India and others.

The fund raise announcement came just a few hours before the Union Cabinet announced the second phase of the Faster Adoption and Manufacturing of (Hybrid) and Electric Vehicles (FAME) scheme.

Through FAME, the government is looking to achieve 30% electric mobility by 2030 and has an outlay of  Rs.10,000 crore for a period of three years with effect from April 1, 2019.

Indian Market – Electric Vehicle :

Though the market for electric vehicles or EVs is expanding in India, appropriate business models are needed to help create synergy among stakeholders, and leverage their competence and expertise towards a common outcome.

When it comes to Ola Electric Mobility, it was initially established to enable Ola’s electric mobility pilot program in Nagpur. In 2018, Ola subsequently announced ‘Mission: Electric’ to bring 1 million electric vehicles on Indian roads by 2022.

It has identified charging as the first problem in electric mobility and is running several pilots to deploy electric vehicles and charging solutions, including battery swapping stations, electric two-wheeler and three-wheeler services, amongst others.

Raising money by Ola Electric Mobility :

The unit is named Ola Electric Mobility and is described as being an independent business that’s backed by Ola. TechCrunch understands Ola provided founding capital, and it has now been joined by a series of investors who have pumped Rs. 400 crore ($56 million) into Ola Electric. Notably, those backers include Tiger Global and Matrix India — two firms that were early investors in Ola itself.

Ola has taken steps to electrify its fleet — it pledged last year to add 10000 electric rickshaws to its fleet and has conducted other pilots with the goal of offering one million EVs by 2022 — but the challenge is such that it has spun out Ola Electric to go deeper into EVs.

Focus of Ola Electric Mobility :

The new Ola Electric Mobility company has pledged to focus on areas that include charging solutions, EV batteries and developing viable infrastructure that allows commercial EVs to operate at scale, according to an announcement.

In other words, the challenge of developing electric vehicles goes beyond being a “ride-hailing problem” and that is why Ola Electric has been formed and is being capitalized independently of Ola.

Ratan Tata :

Ratan Naval Tata, (born 28 December 1937) is an industrialist, businessman, investor, philanthropist, and a former chairman of Tata Sons who serves as its chairman emeritus. He was also chairman of Tata Group, from 1991 to 2012, and again, as interim chairman, from October 2016 through February 2017, and continues to head its charitable trusts.

He is the recipient of two of the highest civilian awards of India – Padma Vibhushan (2008) and Padma Bhushan (2000). He is well-known for his business ethics and philanthropy

Ratan 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. I have always admired the vision of Bhavish Aggarwal and I’m confident that this will be part of yet another important strategic move into this new business area.”

Bhavish Aggarwal :

Bhavish Aggarwal (born 28 August 1985) is an Indian entrepreneur and co-founder of Ola Cabs.  Aggarwal was born in Ludhiana and grew up in Afghanistan and the UK.

He completed a bachelor’s degree in computer science and engineering at Indian Institute of Technology, Bombay in 2008.  He started his career with Microsoft Research India as a Research Intern and later got reinstated as an Assistant Researcher.

He began his career with Microsoft, where he worked for two years, filed two patents and published three papers in international journals.  In January 2011 he co-founded Ola Cabs with Ankit Bhati in Mumbai.  In 2015 Aggarwal and Bhati were the youngest to be included in that year’s list of richest Indians.

Ratan Tata invests an undisclosed amount in Ola Electric :

“Tata has been a mentor and an inspiration in shaping Ola’s journey over the years,” said Bhavish Aggarwal, co-founder and CEO of Ola.

Ratan Tata, Chairman Emeritus of Tata Sons, has invested an undisclosed amount in Ola Electric Mobility (OEM), the electric vehicles project of the ride hailing app. This investment, which is part of OEM’s series A round of funding, is in Ratan Tata’s personal capacity, the Bengaluru-based company said in a statement.

Tata is also an early investor in ANI Technologies, Ola’s parent company. Bhavish Aggarwal, co-founder and CEO of Ola said Tata has been a mentor to him personally, and an inspiration in shaping Ola’s journey over the years.

EV Four Wheelers  :  

The Indian electric vehicle segment is currently ripe for disruption. With the continuous push from the government to ensure 30% electric mobility in India by 2030, both local and foreign companies are making their way into this opportunity. Earlier this week, UK-based electric bike company and lifestyle brand GoZero Mobility also announced plans to enter India.

Of the 2.6 Lakh electric vehicles sold in India as of December 2018 (according to FAME India report)  a majority 59% of sales came from two-wheelers. Two-wheeler electric vehicles like Ather Energy, Emflux Motors, Hero Electric have already tasted success in this segment.

Others like Maruti Suzuki India Ltd, Toyota Motor Corp and Nissan Motor Co are testing the ground to launch two-wheeler electric vehicles in the country, some as early as 2020.

Conclusion :

Can Ola Electric Mobility deliver on the opportunity? Only time will tell. For now, it has cash in hand, investors who believe in this business and a market with a big opportunity.

To know more about Ola investment click on the link https://www.bangalorean.com/blog/business/sachin-bansal-filpkart-co-founder-ola-cabs/

Ola Ride-sharing – blocked – Bengaluru

Ola Ride-sharing – blocked – Bengaluru

Ola Ride-Sharing is blocked by taxi aggregator Ola at night between 11 pm and 6 am  due to the safety of the passengers and the driver’s earnings.

Commuters will not be able to use ola ride-sharing to work through taxi aggregators ola.

Ola cabs :

Ola Cabs is an Indian origin online transportation network company developed by ANI Technologies Pvt. Ltd.  As of December 2018, Ola was valued at about $5.7 billion.  A variety of venture capitalists including Softbank have large stakes in the company.

Ola Cabs was founded on 3 December 2010 as an online cab aggregator in Mumbai and is now based in Bengaluru.  As of 2018, the company has expanded to a network of more than 10,00,000 vehicles across 169 cities.

In November 2014, Ola diversified to incorporate auto-rickshaws on a trial basis in Bangalore.  After the trial phase, Ola Auto expanded to other cities like Delhi, Pune, Chennai and Hyderabad starting in December 2014.

In January 2018, Ola extended into its first overseas market to Australia and New Zealand in September 2018.  In March of 2019, Ola began its UK operations introducing Auto Rickshaws in UK.

The Ola Cab story:

While trying to keep his holiday and tour planning business afloat, Bhavish had to travel from Bengaluru to Bandipur, for which he rented out a car, which ended in a very bad experience.

The driver stopped the car in the middle of the journey and demanded a renegotiation of what Bhavish was paying. After being refused, he proceeded to abandon him enroute his destination.

This is when he realized how his plight was probably similar to a lot of customers across the country who were looking for a quality cab service, but ended up with a one that stood them up, arrived and dropped them off late, didn’t stick to their promises, and came with drivers that were nightmares behind wheels.

This made him see the potential that an extraordinary cab booking service could have, and hence, he changed his business from his earlier start-up to the one we today know as – Ola Cabs. This was in December 2010, where he was joined by his co-founder Ankit Bhati in his start-up journey.

His parents didn’t agree with his idea in the beginning of course, like all parents.  They were thoroughly displeased with his decision to become a ‘travel agent’, but when Ola Cabs received it’s first round of funding from two angel investors, they started to believe in the change he was planning to bring.

Ola Founders :

Bhavish Aggarwal- is the ola co-founder and Chief-executive-officer who graduated from IIT Bombay with a B. Tech in Computer Science in the year 2008. Bhavish has worked for Microsoft research, Bengaluru  for two years right after college. There, he passed two years with filing 2 patents and 3 research publishing in international journals.

While trying to chase his dream of entrepreneurship, he started an online company to sell short duration tours and holidays online before changing that into Ola Cabs.

Ankit Bhati heads the technical aspects of Ola cabs, ensuring a quick, convenient and instinctive experience for customers and partners. He joined IIT Bombay in 2004 for B.tech in Mechanical Engg and M.Tech in CAD and Automation.

By 2009 he had already worked on several freelance projects and startups like Wilcom, QED42 etc. and finally decided to give up his nomadic professional life for a start-up of his own. He joined the Olacabs journey in November 2010.

Bengaluru – largest market –  Ola  ride-sharing :

Bengaluru, where Ola is headquartered, is also its single largest market in the country. The city is estimated to have 120,000 cabs, out of which around 65,000 operate on the Uber and Ola platforms interchangeably, state authorities and experts said. 

Ola share riding

This isn’t the first run-in for a ride hailing firm with the Karnataka authorities. 

Recently, Ola and other cab aggregators which operate bike taxis have been facing the heat from the Transport Department. In February, transport officials seized close to 500 such bike taxis for operating illegally.

Ola Ride-sharing :

Thousands of commuters rely on ride-sharing to get to places as it is affordable.  But nobody knows whether it remains permanent.  The facility was stopped earlier this week.

The passengers pay 30% to 60% less by sharing the cab with others travelling on the same route.

According to Ola the ride-sharing block was taken to balance the value for money and viability for customers and drivers partners. 

Ola ride sharing was stopped in Chennai two weeks ago and Ola is planning to do the same in other cities eventually.

POOL and Share have also been opposed by drivers’ unions in Karnataka as they complained that it has brought down incentives of drivers, as customers are charged less when they hail a shared ride.

Road space –  ola ride sharing :

The ola ride sharing was well appreciated for its role in reducing congestion by carrying more people in less vehicles. The decision was a disappointing news for a lot of people who work late in the night.

According to Ola officials the decision was taken keeping in mind the safety of the passengers and co-passengers.  Recently some complaints about  drunken passengers sharing the ride with others creating problem was brought to the notice.

Ola talked about “ease of use”, “lower prices”, and “decongesting cities”, they do not take responsibility for the passenger’s safety. The companies do guarantee passenger safety even after the rider has boarded the cab.

In a country where fake identity proofs are so common, allowing strangers to share rides can be risky.

Ola cab ban :

Recently Ola was banned.  Ola cabs ban was Implemented in Bengaluru for 6 months but was revoked later after penalising.  The Karnataka Transport Department on 22nd March 2019 suspended the  licence of online cab operator Ola for 6 months in Bengaluru. 

This ban came in the wake of ola running its bike taxis while possessing a licence only to run four wheelers. 

Ola had a great start to the year – funding, getting the likes of Flipkart Co-founder Sachin Bansal on its board, but it’s legal issues just doesn’t seem to end.

Sanchin Bansal – Investment in Ola :

Bansal has taken up 70588 fully & compulsorily cumulative series J preference shares.  The face value of the share is Rs.10 at a premium of Rs.21240 per share.

Ola has raised Rs.520 crore from existing investor Steadview Capital.  Sanchin Bansal is also setup up a $1 billion fund, has invested in ola cabs in his individual capacity. 

This investment is to be one of the biggest of Sachin Bansal.  The investment comes at a time when ola is competing with the global rival Uber in India.

Ola ride-sharing pass :

Share Pass offers the convenience of hassle free daily commute on Ola Share rides with its fixed fares. Share Pass is automatically applied to all Ola Share rides that one  takes in Bengaluru city for which the commuter  have purchased the pass, provided that the pass fare is lower than the Share fare.

Conclusion – ola ride-sharing :

Incidents of rape and molestation have never stopped doing the rounds with cab-hailing companies. “Women safety can’t be jeopardized”.

According to a ola ride sharing commuter “OLA RIDE SHARING FOR YOU IS CHEAP, HORRIBLE, UNRELIABLE BUT YES COMES AFFORDABLE IF YOU HAVE PLENTY OF TIME TO SPEND IN OLA CAB AND HAS NO VALUE TO YOUR TIME WITH NO ONE SICK WITH YOU, You are welcome to take the ride but if your time has value and you have sick people with you then never ever do it”.

Self-drive service – Ola – investment $500 million

Self-drive service – Ola – investment $500 million

Self-drive service introduction by Ola is aimed at broadening its portfolio of transportation solution.  Ola to invest $500 million in self-drive service.

The move to enter the self-drive rental service category is in line with Ola’s broader strategy of expanding its bouquet of transport solutions beyond just cabs .  It is planning to include scooters and electric vehicles with a view towards ensuring sustainability and positive unit economics.

Ola to deploy nearly 10,000 cars, including luxury sedans and SUVs, in major cities in the coming months.

Ola cabs :

Ola Cabs is an Indian origin online transportation network company developed by ANI Technologies Pvt. Ltd.  As of December 2018, Ola was valued at about $5.7 billion.  A variety of venture capitalists including Softbank have large stakes in the company.

Ola Cabs was founded on 3 December 2010 as an online cab aggregator in Mumbai and is now based in Bengaluru.  As of 2018, the company has expanded to a network of more than 10,00,000 vehicles across 169 cities. In November 2014, Ola diversified to incorporate auto-rickshaws on a trial basis in Bangalore.  After the trial phase, Ola Auto expanded to other cities like Delhi, Oune, Chennai and Hyderabad starting in December 2014.

In January 2018, Ola extended into its first overseas market to Australia and New Zealand in September 2018.  In March of 2019, Ola began its UK operations introducing Auto Rickshaws in UK.

Investments – ola cabs:

In recent past, Ola confirmed a Rs 650-crore funding from Flipkart co-founder Sachin Bansal.  Steadview Capital and a cohort of US-based investors like Raymond S Cahnman, chairman of Transmarket Group, philanthropists Tina and Steven Price, J3T Ventures and Lyon Assets along with a bunch of Chinese funds also participated in the company’s latest round. 

Ola investment in self drive service :

Homegrown ride-hailing platform Ola will invest over $500 million to launch a ‘self-drive’ service.  This is  aimed at broadening its portfolio of transportation solutions.

The investment will come from a mix of debt and equity over the next couple of years.  Ola will deploy nearly 10,000 vehicles, including luxury sedans and SUVs, in major cities in coming months according to sources.

Ola was likely to raise debt via Ola Fleet Technologies to seed the new business. So far, the multi-modal transport company has relied on equity capital from some of the world’s largest investors like  Japan’s SoftBank and US investment firm Tiger Global, to fund its rapid growth in the country. 

Ola Founders :

Bhavish Aggarwal- is the ola co-founder and Chief-executive-officer who graduated from IIT Bombay with a B. Tech in Computer Science in the year 2008. Bhavish has worked for Microsoft research, Bengaluru  for two years right after college. There, he passed two years with filing 2 patents and 3 research publishing in international journals.

While trying to chase his dream of entrepreneurship, he started an online company to sell short duration tours and holidays online before changing that into Ola Cabs.

Ankit Bhati heads the technical aspects of Ola cabs, ensuring a quick, convenient and instinctive experience for customers and partners. He joined IIT Bombay in 2004 for B.tech in Mechanical Engg and M.Tech in CAD and Automation.

By 2009 he had already worked on several freelance projects and startups like Wilcom, QED42 etc. and finally decided to give up his nomadic professional life for a start-up of his own. He joined the Olacabs journey in November 2010.

The Ola Cab story:

While trying to keep his holiday and tour planning business afloat, Bhavish had to travel from Bengaluru to Bandipur, for which he rented out a car, which ended in a very bad experience.

The driver stopped the car in the middle of the journey and demanded a renegotiation of what Bhavish was paying. After being refused, he proceeded to abandon him enroute his destination.

This is when he realized how his plight was probably similar to a lot of customers across the country who were looking for a quality cab service, but ended up with a one that stood them up, arrived and dropped them off late, didn’t stick to their promises, and came with drivers that were nightmares behind wheels.

This made him see the potential that an extraordinary cab booking service could have, and hence, he changed his business from his earlier start-up to the one we today know as – Ola Cabs. This was in December 2010, where he was joined by his co-founder Ankit Bhati in his start-up journey.

His parents didn’t agree with his idea in the beginning of course, like all parents.  They were thoroughly displeased with his decision to become a ‘travel agent’, but when Ola Cabs received it’s first round of funding from two angel investors, they started to believe in the change he was planning to bring.

Ola to challenge Zoom Car :

Ola cabs, which has become one of the largest cab sharing platforms in India will soon get into the self-drive car business. The brand has decided to enter the new business after investing $500 million in the sector. It will be the first time that Ola will invest in such a business in the Indian market.

The homegrown cab hailing startup recently collected a huge investment from India’s second largest manufacturer – Hyundai and its sister brand and upcoming manufacturer in India – Kia.

Both the Korean brands have together pumped in around Rs. 2,000 crores in Ola and there is investment from Flipkart co-founder Binny Bansal too. The cab-hailing business is also backed by big names like Soft Bank and Tiger Global. The Bengaluru, Karnataka-based company has raised around $3.67 billion till date through various rounds of investments.

Portfolio – Ola cabs – self drive service

Ola is planning to broaden its portfolio with the introduction of the new services. At present,  Ola only offers short distance and inter-state rental cabs. With the introduction of new services, Ola will compete directly with the likes of ZoomCars, Avis, Revv, CarzOnRent and more such brands that currently offer self-driven vehicles in India.

It is clear that  Ola will initially offer the services only in the major cities of the country before expanding to the other cities.

Car rentals by others :

Ola will offer services like long rentals, lease and subscription of the cars. It should be noted that Revv recently started offering subscription-based car ownership in India, which promises to provide vehicles like Mahindra Scorpio, Maruti Ertiga, Hyundai Creta, Mahindra Marazzo, Mahindra XUV 500 and a new car if the customer chooses a plan of more than 12 months. Revv offers popular more.

Self-drive car service in Bengaluru :

Self-driving cars are likely to become a major business in the silicon City in the future. Currently, the option is quite unpopular but it is gaining massive popularity and soon, may see more people choosing the rental car service rather than owning a vehicle.

India is one of the world’s largest car market and it is growing at a fast pace. But, the difficulties like maintenance of the car keeps may prospective buyers away. Self-driven vehicles eliminate the need for such ownership experiences and only focus on the time spent with the vehicle.

 

 

 

Ola cabs banned  –  6 months – shame/timing

Ola cabs banned – 6 months – shame/timing

Ola cabs ban – Implemented in Bengaluru for 6 months.  The Karnataka Transport Department on 22nd March 2019 suspended the  licence of online cab operator Ola for 6 months in Bengaluru. 

This ban comes in the wake of old running its bike taxis while possessing a licence only to run four wheelers. 

Ola had a great start to the year – funding, getting the likes of Flipkart Co-founder Sachin Bansal on its board, but it’s legal issues just doesn’t seem to end.

Ola cabs :

Ola Cabs, is an online transportation network company developed by ANI Technologies Pvt. Ltd.  As of December 2018, Ola was valued at about $5.7 billion. A variety of venture capitalists including Softbank have large stakes in the company.

Ola Cabs was founded on 3 December 2010 as an online cab aggregator in Mumbai, and is now based in Bengaluru.  As of 2018, the company has expanded to a network of more than 10,00,000 vehicles across 169 cities. In November 2014.

Ola diversified to incorporate autorickshaws on a trial basis in Bengaluru.  After the trial phase, Ola Auto expanded to other cities like Delhi, Pune, Chennai and Hyderabad starting in December 2014.

History of Ola cabs :

On March 2014, Ola Cabs acquired Bengaluru based taxi service Taxiforsure for approximately Rs.1,394 crore (US$200 million).  From 25 June 2015, Ola users gained access to TFS cabs via the Ola mobile application. In November 2015, Ola acquired Geotagg, a trip-planning applications company, for an undisclosed sum.

In December 2017, Ola acquired  Foodpanda’s business in India. In April 2018, Ola made its second acquisition with Ridlr (formerly Traffline),  a public transport ticketing app.

In August 2018 Ola financed Series A funding of the scooter rent startup Vogo, and in December, Ola invested another $100 million.

In March 2019 Ola raised another $56 million (Rs.400 crore) from Tiger Global and Matrix India.  Later Ola raised another $300 million from Hyundai and Kia.

Ola cab banned – licence cancellation :

The Transport  department issued an order dated March 18, to Ola operator ANI Technologies on 22nd March.  The order stated that its licence in Bengaluru was cancelled for 6 months for violation of conditions under which the permission was granted. 

The ola cab ban order was issued for violating the Karnataka On-Demand Transportation Technology Aggregators Rules, 2016.

With this order from the Government, the ola cab’s and autos will be off the roads for 6 months. 

Ola’s response to the ban :

Ola is evaluating all possible options to find a solution to ban so that its driver-partners will not suffer and continue to work in Bengaluru. 

The company was running bike taxis in Bengaluru  city which was reportedly illegal given the lack of a policy framework. Ola confirmed the development, but claimed that it had halted operations of its bike taxis “weeks ago”.

Statement by Ola on cab ban :

Ola cab issued a statement stating, “We have been closely working with the authorities on this topic, responding to queries and making proactive representations to the ministry. Despite other companies continuing to operate illegally, Ola halted our bike taxi experiment weeks ago, instead seeking the state’s cooperation to develop a legal framework for a pilot that will continue to take advantage of emerging opportunities in the mobility economy. This notification is unfortunate, and we look forward to an opportunity to address these concerns directly with state officials to find a solution for our driver-partners and millions of Ola users in Karnataka”.

Ola raised money :

The development takes place within days of the company announcing that it had raised $300 million in funds from South Korea’s Hyundai Motor Group in a strategic deal.

The company claims to have over 1.3 million driver partners across the country. Although it doesn’t give a city-wise breakup, Bengaluru is expected to be one of its top markets.

Sanchin Bansal – Investment in Ola :

Bansal has taken up 70588 fully & compulsorily cumulative series J preference shares.  The face value of the share is Rs.10 at a premium of Rs.21240 per share.

Ola has raised Rs.520 crore from existing investor Steadview Capital.  Sanchin Bansal is also setup up a $1 billion fund, has invested in ola cabs in his individual capacity. 

This investment is to be one of the biggest of Sachin Bansal.  The investment comes at a time when ola is competing with the global rival Uber in India.

Bengaluru – largest market for Ola :

Bengaluru, where Ola is headquartered, is also its single largest market in the country. The city is estimated to have 120,000 cabs, out of which around 65,000 operate on the Uber and Ola platforms interchangeably, state authorities and experts said. 

This isn’t the first run-in for a ride hailing firm with the Karnataka authorities. 

The state had banned Uber in December 2014 following the rape of a woman passenger by her cab driver in Delhi. Karnataka asked cab-hailing firms to take their vehicles off Bengaluru roads in May 2016 until they were granted licences to operate in the state.

Currently, bike taxis in Karnataka are illegal due to lack of policy framework and are also strongly opposed by the Ola TaxiForSure and Uber Drivers’ Association for fear of loss of business.

Recently, Ola and other cab aggregators which operate bike taxis have been facing the heat from the Transport Department. In February, transport officials seized close to 500 such bike taxis for operating illegally.

260 vehicles impounded – ola cab ban :

The officials confirmed that the enforcement wing of the transport department impounded close to 260 two wheelers attached with Ola in Bengaluru in the last one month.

The department had directed the RTOs to enforce the rules if Ola continued to operate taxis in Bengaluru by ignoring the order.

It is noted that Ola had received licence from the department to operate taxis in Bengaluru from June 2016 to June 19, 2021.

Latest News about OLA updated on 25.03.2019 :

On Friday the Transport department suspended the licence of ola for 6 months in Bengaluru. But on 24.03.2019 according to Social Welfare Minister Pryank Kharge the ola cabs will run as usual.

According to Priyak Kharge, “Technology has been ahead of policy because of fast-paced innovative experiments. There was no provision for aggregators in the Motor Vehicles Act, 1988, but governments formed policies after Ola and Uber arrived”.

The ban had been revoked according to the directions of the State Government. According to the Transport Minister Thammanna he has not aware of the ban imposition on OLA.

People in Bengaluru are confused about what is happening??? News of the ban led to a huge uproar and backlash on social media from public.

Ola moves High Court:

The Ola’s  parent company ANI Technology had filed a petition against the Karnataka transport department after the ban of old cabs and bikes in Bengaluru.

ANI Technologies, which owns and operates Ola, has filed a petition in the Karnataka High Court against the state transport department for non-issuance of a licence to operate two-wheeler taxis in Karnataka, a week after the state fined the company Rs.15 lakh for operating its bike taxi service.

The court has directed that a single company cannot be pulled out for offering bike taxi service while the co’s rivals continue to operate.

Justice S.Sujatha has noted that keeping in mind the right to equality enshrined under Article 16 of the Constitution of India, no person or aggregator can be singled out in the business  activities when the rival competitors are allowed to continue their such business or vice-versa.

The petition alleges inaction on the part of the state transport department against other bike taxi operators while Ola’s aggregator licence wassuspended for a period of 6 months in a notification sent to the company on March 18. The suspension order was reversed on March 25, after the company agreed to pay a fine of 15 lakh.

Sachin Bansal – Filpkart co-founder – OLA Cabs

Sachin Bansal, Co-founder of Flipkart has invested Rs.150 crore in home grown cab-hailing major ola cabs.  Bansal left flipkart following Walmart’s acquisition last year.  Sanchin Bansal  is in talks with many Start-up companies to invest.

Sachin Bansal

In October last year, the Bengaluru-based company had announced raising $1.1 billion funding from China’s Tencent Holdings and SoftBank Group. It had also stated that it was in “advanced talks” to close an additional $1 billion funding to take total mop-up to more than $2 billion.

Sachin Bansal :

Sachin Bansal, who co-founded Flipkart with his friend Binny Bansal in 2007, is estimated to have pocketed between $800 million (Rs. 5,381 crore) and $850 million (Rs.5,717 crore) from the acquisition, according to e-commerce analysts.

Bansal, who served as Flipkart’s CEO for nine years,  held a 5.5% stake in the Bengaluru-based company before Walmart bought a 77%  stake in  it for $16 billion on May 09. Aged around 36, he was until recently Flipkart’s executive chairman.

Sanchin Bansal – Investment in Ola :

Bansal has taken up 70588 fully & compulsorily cumulative series J preference shares.  The face value of the share is Rs.10 at a premium of Rs.21240 per share.

Ola cabs

Ola has raised Rs.520 crore from existing investor Steadview Capital.  Sanchin Bansal is also setup up a $1 billion fund, has invested in ola cabs in his individual capacity. 

This investment is to be one of the biggest of Sachin Bansal.  The investment comes at a time when ola is competing with the global rival Uber in India.

Sachin Bansal – other investments :

Investment in Ola is his larges disclosed investment till date.  Prior to this investment, Sachin Bansal has been an active Angel investor. 

Last month Sachin Bansal launched BAC Acquisition Pvt. Ltd. with investment Banker Ankit Agarwal.  This venture is said to develop and provide services through IT-driven internet and mobile platforms.  This venture also focus on energy, medial, retail, agriculture, financial services etc.

Sachin Bansal’s other investment include SigTuple, scooter startup Ather Energy and News aggregator Inshorts.

Sachin Bansal with Ather scooter