NEW DELHI: India’s biggest ride-hailing company and a major Uber competitor in the country, Ola has announced to invest a staggering $100 million in scooter-sharing startup Vogo.
The decision marks Ola’s entry into the scooter sharing space.
Founded in 2016, Vogo allows customers to rent moped-style motor scooters and pay for them by the minute.
Vogo currently operates in two major cities Bengaluru and Hyderabad in India.
“Ola is committed to building a robust mobility ecosystem in India, creating a deep impact on livelihoods and how citizens get around,” said Bhavish Aggarwal, co-founder and CEO of Ola.
He added “Our investment in Vogo will help build a smart multi-modal network for first-last mile connectivity in the country. Vogo’s automated scooter-sharing platform, backed by Ola’s expertise in this space can help transform our cities. Together, we are thrilled to be at the forefront of India’s rapidly growing micro-mobility market.”
Vogo will use the new funds to purchase an extra 100,000 scooters.
Ola will also integrate Vogo into its own app, which has 150 million registered users and allow users to book Vogo through Ola.
Vogo raised $6-7 million in its Series A funding round earlier in the year led by Ola, Matrix Partners, Stellaris Venture Partners and Hero MotoCorp.