South Korean automakers Hyundai Motor and Kia Motors will together invest $300 million (roughly Rs. 2,051 crores) in Indian ride-hailing platform Ola, Hyundai Motor and Ola said on Tuesday.
The three companies will collaborate to develop fleet and mobility solutions, electric vehicles and infrastructure specific to the Indian market, they said in a joint statement.
The deal, Hyundai and Kia's biggest combined investment, marks Hyundai Motor's foray into fleet vehicles as the company expands operations to total fleet solutions.
Ola's drivers will be offered financial services like lease and instalment payments, the companies said.
“India is the centrepiece of Hyundai Motor Group's strategy to gain leadership in the global mobility market and our partnership with Ola will certainly accelerate our efforts to transform into a Smart Mobility Solutions Provider,” said Euisun Chung, Executive Vice Chairman of Hyundai Motor Group. “Hyundai will proactively respond to market changes and persistently innovate to deliver greater value to our customers."
Bhavish Aggarwal, Co-founder and CEO of Ola said, "We're very excited about our partnership with Hyundai, as Ola progresses to build innovative and cutting-edge mobility solutions for a billion people. Together, we will bring to market a new generation of mobility solutions, as we constantly expand our range of offerings for our consumers." He added, "This partnership will also significantly benefit driver-partners on our platform, as we collaborate with Hyundai to build vehicles and solutions that enable sustainable earnings for millions of them, in the time to come."
Written with inputs from Reuters