Ola has acquired TaxiForSure, India’s second largest cab aggregator, for $200 mn in a cash and equity deal. With this deal, Ola, which has over 1-lakh vehicles on its platform, has further deepened its footprint with TaxiForSure’s operator led model.
Ola and TaxiForSure will continue to operate as separate entities. The leadership and all of the 1700 employees shall continue to work with TaxiForSure, with Arvind Singhal (currently COO) being appointed the CEO.
Aprameya Radhakrishna and Raghunandan G, the founders of TaxiForSure, will contribute in an advisory role for a certain period. TaxiForSure is currently in 47 cities with over 15,000 vehicles registered on its platform.
With this acquisition, investors in TaxiForSure will roll over their stock into Ola. TaxiForSure raised more than $50mn from Accel, Helion and BVP, as opposed to Ola which raised a massive $210mn round.
Ola is also in talks to raise another $500mn round at more than $2Bn valuation.
Given the growth (of demand) in this space, this is surely a premature exit for TaxiForSure (and their investors).
The TaxiForSure Story
Watch TaxiForSure cofounder share the early days of the company and lessons learnt.