Flipkart co-founder Sachin Bansal has pumped in about Rs 650 crore in ride-hailing platform Ola, news agency Press Trust of India reported quoting documents filed with the Corporate Affairs Ministry. “…70,588 fully and compulsorily convertible, cumulative ‘Series J’ Preference Shares’ having face value of Rs 10 having the rights, privileges and preferences… is hereby allotted at a subscription price of Rs 21,250,” the documents showed, according to Press Trust of India.
The resolution was passed at a board meeting of ANI Technologies, the entity that runs Ola, on January 12, documents showed, according to the agency.
Mr Bansal left Flipkart after the US retail giant Walmart picked up 77 per cent stake in the e-commerce company for $16 billion last year.
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.
Ola is locked in a battle for market leadership with US-based rival Uber in India and other markets like Australia, New Zealand and the UK. The Indian company has been aggressively ramping up its rides business as well as hailing platform and food delivery operations (through Foodpanda).
India’s biggest e-commerce marketplace was founded in 2007 in Bengaluru by Sachin Bansal and Binny Bansal, both former employees of Amazon. The Bansals met in 2005 at the Indian Institute of Technology, Delhi (IIT-Delhi).
Source: NDTV Profit