Ola is making an investment of up to Rs 786.1 crore in Ola Financial Services (OFS), which will now become a 100% subsidiary of the ride-hailing platform, as per regulatory documents. As per documents submitted by ANI Technologies (which operates Ola) to the Registrar of Companies (RoC), Ola has received the nod to "make an investment in Ola Financial Services Pvt Ltd up to Rs 786,64,12,400 in-kind consideration against swap of shares of the company".
According to sources, ANI Technologies will now own 100% of Ola Financial Services in an all-stock deal.
Emails sent to Ola did not elicit a response.
Ola Financial has sold over 675 million policies sold and is a key part of Ola's mobility platform.
In a recent regulatory filing, ANI Technologies had said OFS is looking to expand its insurance business internationally to support the company's mobility service through products designed for the UK and Australia, and New Zealand (ANZ) markets.
It had noted that OFS had a turbulent year (FY21) with the impact of external factors on the lending environment in general and the lending environment in general and the double impact on mobility business and its spillover to the OlaMoney brand. OFS had launched a slew of new products and capabilities in both the lending and insurance businesses and further deepened its partnerships with the leading merchants in the ecosystem.
OFS is expanding its suite of products by launching new lending offerings in the form of two-wheeler, four-wheeler, and personal loans to offer a comprehensive financial product ecosystem to the customer, as per that filing.
OFS recently strengthened its leadership team in Financial Services with the appointment of PV Harinarayan as the Vice President of the Lending business.