By the end of this month, the well-known ride-hailing company Ola Cabs plans to cease operations in foreign regions, including the UK, Australia, and New Zealand.
With operations scheduled to stop in Australia on April 12, the firm has begun notifying consumers of the impending closure. In 2018, Ola declared that it would launch in Australia and New Zealand.
Ola intends to prepare for its upcoming initial public offering (IPO) by consolidating its domestic operations. The development was confirmed to Fe by a representative for the SoftBank-backed business, who highlighted the “immense opportunity” for growth in the Indian market, where Ola provides a variety of mobility services in hundreds of locations.
“We are still profitable and leading our respective segments in India, and our ride-hailing business is expanding quickly. The ride-hailing industry has a lot of room to grow in India, and electric vehicles are the way of the future for both personal and commercial transportation. We have reassessed our priorities and chosen to wind down the international ride-hailing business in its current form in the UK, Australia, and New Zealand in light of this clear focus on India. We are still incredibly enthusiastic and committed to serving one billion Indians. We are confident to lead the next phase of growth in the sector at large and drive the nation’s mobility objectives as a technology-first firm leading with innovation,” the spokesperson said.
Valued at $7.3 billion in 2021, the Bengaluru-headquartered firm counts marquee investors such as Temasek, Tiger Global, and Warburg Pincus among its backers.
The ride-hailing major plans to file for an IPO after the public listing of its electric vehicle arm, Ola Electric. The EV subsidiary is eyeing a $662 million IPO in India, as per regulatory filings made late last year.
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