New Delhi, Mar 28: Japanese investment firm Softbank has brought cab-hailing services Old and Uber back on the table to negotiate a possible merger. The institutional investor has invested large sums in both companies.
PTI reported that senior executives of the companies have met several times for the past several months, indicating that Ola might take over Uber India. The blueprint of the deal has not been decided. It might take several months for the deal to be worked out.
The sources said Softbank– which is the largest investor in both companies– is facilitating a deal between the two rivals.
When asked about the development, an Ola spokesperson told PTI, “Ola is always actively looking for opportunities to expand its footprint. Softbank and all other investors are committed to realising this ambition.”
Uber’s announcement of an exit form Southeast Asia after selling local unit to Grab has fueled the speculation that Uber India might enter a similar deal with Ola in the country.
However, Uber CEO Dara Khosrowshahi has said that the Grab deal would help the company enhance its investment in markets like India. “We will be more focused on organic growth in the markets we are operating in,” he added.