India-based Olacabs nets Series C funds

India cab network Olacabs has raised INR 250 crores in Series C funding. The investors included Steadview Capital, Sequoia Capital, Tiger Global Management and Matrix Partnes India. According to the company, the capital infusion will be used for expansion and to invest into the “supply ecosystem.”

PRESS RELEASE

Bangalore, July 10, 2014: Olacabs, India’s largest cab network today announced its Series C funding of INR 250 crores from Hong Kong based equity hedge fund, Steadview Capital and venture capital firm Sequoia Capital. Existing investors Tiger Global Management and Matrix Partners India have participated in this round of funding as well. Ola will use funds from this investment to expand their operations to newer markets as well as invest a sizable sum into the supply ecosystem to enable micro-entrepreneurship in the driver stakeholder segment.

Bhavish Aggarwal, co-Founder and CEO, Olacabs said, “Building a high quality transportation network in India involves substantial effort and investment. We are thrilled about the growth we are witnessing and the possibilities this investment opens up for us. We intend to be present in atleast 20 cities by the end of this year. We are also deeply involved with the supply ecosystem by helping drivers become entrepreneurs and creating socio-economic empowerment for them. We are happy to announce that we are earmarking a sum of INR 100 crores towards nurturing this ecosystem in the next one year. Steadview and Sequoia are great partners to have on board with both of them bringing deep understanding of consumer businesses.”

“The need for quick and efficient point to point transport is very large in urban India. Ola is the leader in addressing this need via technology, benefiting both consumers and drivers. We think highly of Bhavish, Ankit and the team at Ola and look forward to partnering with them.” said Gautam Mago, Principal, Sequoia Capital India Advisors Pvt Ltd.

“Ola is solving a real problem by providing Indian consumers a safe, comfortable, standardized service offering at transparent and competitive prices. At the same time, it is serving cab drivers and operators helping them buy their own cars and improving business for them, thereby nurturing micro-entrepreneurship. Bhavish is an outstanding entrepreneur who we are privileged to work with and we welcome Steadview and Sequoia to the Ola partnership.” said Avnish Bajaj, co-Founder and Managing Director, Matrix India.

Founded in January 2011 by two IIT Bombay alumni Bhavish Aggarwal and Ankit Bhati, Ola is changing the largely fragmented and inefficient car rental market by integrating technology both for the customer and the driver to offer a seamless and consistent travel experience.

Through its unique mobile app, customers can book cabs and track their ride while cab drivers get booking requests on a GPS enabled android device that also helps in navigation and billing. Ola uses GPS and customer travel data to effectively manage inventory, demand and route planning, benefitting the end customer as well as the cab drivers. Ola also works with leading car manufacturers and financial institutions to help drivers buy their own cars at huge discounts and access to affordable repayment schemes.

About Olacabs:
Olacabs is India’s largest cab network with over 11,000 cabs on their platform present across 9 cities. Ola integrates cab transportation across point-to-point, local and outstation rentals onto a technology platform, ensuring convenient, transparent and quick service fulfillment for the customer.

Ola is the first to offer a mobile app for iPhone, Android and Windows that not only books a cab, but also helps customers track their cab in real-time. Currently over 50% of their bookings come through the mobile app. The Olacabs app for drivers acts as an in-car navigation cum fare device. Ola conducts regular car audits, driver training & sensitization sessions to ensure standardized service delivery and customer delight. Customers can access Olacabs, on the web, through their mobile apps or through a customer service center on 3355 3355. Olacabs currently operates in Mumbai, Bangalore, Delhi – NCR, Chennai, Goa, Pune, Jaipur, Hyderabad and Chandigarh. To know more, please visit http://www.olacabs.com.

About Steadview Capital:
Steadview Capital is an India-focused fund based in Hong Kong. The fund makes concentrated, long-term investments in both public and private companies. The fund invests across multiple sectors, but has an emphasis on the consumer, technology, and manufacturing sectors. Steadview’s investors include leading universities, foundations, pension funds, and family offices. To know more, visit www.steadview.com.

About Sequoia Capital:
Sequoia Capital in India currently manages funds capitalized at close to USD 2 billion and invests across venture, growth, and late stage opportunities. It takes a long-term view on investments and plays the role of an active, value-added partner to entrepreneurs, business families and management teams. Over the past 8 years, Sequoia Capital has invested in more than 75 companies in India including Capillary Technologies, Druva Software, Justdial, Micromax, Mu Sigma, Pine Labs, Prizm Payments, Quick Heal and Zomato. Sequoia Capital operates out of offices in Bangalore, Mumbai, and New Delhi.

Globally, Sequoia Capital has an unparalleled track record of partnering with entrepreneurs to create global market leaders. Sequoia has been an early investor in companies such as Apple, Cisco, Dropbox, Google, LinkedIn, Oracle, Yahoo, YouTube and Zappos. Sequoia Capital maintains dedicated teams in USA, China, India and Israel. For more information, please visit: www.sequoiacap.com.

 

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