I will never buy a loss-making company: Bhavish Aggarwal on Ola-Uber merger rumors

At a press conference, the founder of Ola, India’s largest ride-sharing company, Bhavish Aggarwal, on Monday again denied the Bengaluru-based company’s merger with its American counterpart Uber. “People who know me know that I will never buy a loss-making company,” he told reporters.

Last month, Aggarwal took to the microblogging site Twitter to clear up rumors of a possible merger between Ola and its American counterpart Uber. “Absolute rubbish. We are very profitable and growing well. If other companies want to leave India they are welcome! We will never merge,” Aggarwal tweeted, citing a news report.

“Ola is one of the most profitable ridesharing companies in the world with a strong balance sheet. We are the market leader in India and are much bigger than other players. Therefore, merging of any kind is completely out of the question. the equation. We believe India has a lot more opportunity to unlock in mobility services. As a vertically integrated mobility company, we will further cement our position through any acquisition in the Indian market, if at all. at all,” an Ola spokesperson said.

Four years ago, Ola and Uber were in talks about a possible merger. In 2018, the Japanese conglomerate Softbank was consolidating its taxi companies around the world. At the time, SoftBank Vision Fund held a roughly 26% stake in Ola and a similar stake in Uber. Uber’s sale of Southeast Asia business to Grab, two years after selling its China business to Didi Chuxing, had fueled talks that SoftBank was willing to merge Ola and Uber in India as well. But Aggarwal did not let him.

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