Investor cuts Ola valuation to about $3 billion

Bengaluru: Homegrown ride-hailing giant Ola has seen its valuation marked down by one of its investors even as the mobility sector sees a gradual recovery in the country, The Capital Quest reported.

The US-based investment firm Vanguard Group, which had first backed Ola in 2015, cut the value of its investment by 45% between Dec. 31, 2019, and June 30, 2020, and another 9.5% recently, bringing down the company’s valuation from a little over $6 billion to about $3 billion, the report said.

This is not the first time Vanguard has marked down the valuation of the Bengaluru-based firm. It had slashed Ola’s valuation by 41% in 2017, but marked up in subsequent months. It’s also worth noting that Vanguard is a minority investor with less than 1% in the firm.