Softbank said to be brokering merger deal between homegrown Ola, US headquartered Uber: Source

Taxi-hailing services Ola and Uber have once again revived talks to merge their businesses here, in a deal being brokered by Japanese investment firm Softbank that is an investor in both the companies.

PTI March 29, 2018 09:53:47 IST
Softbank said to be brokering merger deal between homegrown Ola, US headquartered Uber: Source

Mumbai: Taxi-hailing services Ola and Uber have once again revived talks to merge their businesses here, in a deal being brokered by Japanese investment firm Softbank that is an investor in both the companies.

Source in the know of the development has confirmed that senior executives from both companies have met several times over the past several months. The talks indicate that homegrown Ola will take over Uber India. However, the blueprint of the deal is yet to be worked out and could take several months, according to the source. Softbank is the largest investor in both the companies, and is facilitating these talks, the source added.

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."

Softbank said to be brokering merger deal between homegrown Ola US headquartered Uber Source

Representational image. IBNLive

It can be noted, that talks about the development have heightened a day after Uber announced its exit from Southeast Asia, after selling its local unit to rival company Grab.

Meanwhile, Uber chief executive Dara Khosrowshahi said earlier in the day that the deal with Grab would help the US-based cab aggregator increase its investment in its core markets like India and ramp up products as well as grow new businesses like Uber Eats.

India is already among the top three markets for Uber after the US and Latin America. "We will be more focused on organic growth in the markets we are operating in," he added.

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