The Competition Commission of India has approved acquisition of stake by Hyundai Motor Co. Ltd. and Kia Motors in ANI Technologies Pvt. Ltd. and Ola Electric. ANI Technologies, founded by Bhavish Aggarwal, is the operator of ride-hailing startup Ola as well as its EV arm Ola Electric.
"The Commission approved the proposed combination subject to the carrying of modifications proposed by Hyundai Motor Company and Kia Motors Corporation," CCI said in a release. The proposed transaction does not give rise to any competition concerns, it added. Hyundai and Kia Motors have invested $300 million in Ola, as part of a larger $1 billion fundraising by the Aggarwal-led startup. It’s also the largest investment by the Korean automakern mobility services, ahead of their $250 million funding in southeast Asian ride hailing service Grab.
Ola is locked in a fierce battle for market dominance with Uber in India and has expanded to other markets such as Australia, New Zealand, and the U.K. It’s also ramping up its food delivery operations through Foodpanda.