Both companies have held two rounds of talks and a deal could be reached in the next six weeks, according to a report by Entrackr
South-Korean automaker Hyundai Motors is reportedly in talks with Ola to invest up to $300 Mn in the Bengaluru-based cab hailing giant.
Sources told Entrackr that the deal has reached the second stage of negotiation and may fructify in the next six weeks.
If the funding goes through, it is expected to be part of Ola’s ongoing Series J round and may fetch the company a valuation of $6 billion.
Ola is also expected to use the funds to ramp up its presence in the electric vehicle segment.
Meanwhile, Hyundai is also focusing on manufacturing electric vehicles in India. It is learnt that the firm is investing over $1 billion (approximately Rs 7,000 crore) in the Sriperumbudur facility near Chennai (Tamil Nadu) to manufacture electric cars.
Hyundai also led $14.3 million Series B funding round of Indian car rental startup Revv in August 2018.
Ola aims to bring 1 million electric vehicles in its fleet by mid-2021
Ola Electric Mobility Pvt Ltd, the electric mobility arm of Ola, last year, announced ‘Mission: Electric’ to bring 1 million electric vehicles to Indian roads by 2022.
The company recently raised funding of $56 Mn (INR 392 Cr) from Tiger Global, Matrix Partners, and Sarin Family India LLC.
Incorporated in February 2017 to pilot the use of electric vehicles in Nagpur, Ola Electric is currently running several pilots to deploy electric vehicles and charging solutions, including battery swapping stations, electric two-wheeler and three-wheeler services.
It is headed by Anand Shah, a former BMW executive, and Ankit Jain, who led Ola’s connected vehicle platform.
Ola Electric has already partnered with several original equipment manufacturers (OEMs) and battery manufacturers.
