Ola folds used hand car business to focus on EVs

Ola Cars was launched in October last year with Arun Sirdeshmukh at the helm; the company’s competitors were Spinny, Droom, Cars24 and Olx. Sirdeshmukh quit last month and the company closed operations in five cities

ET Now Digital

Updated Jun 25, 2022, 10:09 IST

Ola folds second hand car business to focus on EVs

Photo : ET Now Digital

Ola has folded its used car business Ola Cars eight months after the division started operations to focus on its burgeoning electric vehicle unit and mobility business. Ola Dash, the company’s last-mile delivery business has also been shuttered, according to a report in Economic Times.

The infrastructure, technology and capabilities of Ola Cars will “be repurposed towards growing our Ola Electric sales and service network,” a company spokesperson told ET.

The company also said its ride hailing business is delivering its “highest ever GMV” month on month along with profits, and its EV unit has already become India’s largest EV company within months.

“We’re focused on our mission to accelerate the electric revolution in India and scale our mobility services to serve 500 million Indians. With our strong balance sheet, we’re increasing our pace of investments and growth into new areas like electric cars, cell manufacturing and financial services,” added the spokesperson.

On the other hand, the SoftBank Group-backed Ola Electric is making major strides in the EV market. It was earlier reported that the company is in talks with many global suppliers to build a battery cell manufacturing plant in India with a capacity of up to 50-gigawatt hours.

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