Earlier this year, Hyundai and Kia invested $300 million in ANI Technologies, Ola's parent company.
Ola Electric Mobility will raise capital from Hyundai and Kia, according to a report in The Times of India.
The development comes amid the government's push for a transition to electric vehicles.
Earlier this year, Hyundai and Kia invested $300 million in ANI Technologies, Ola's parent company. According to the filing, both these deals are believed to be linked, even though details of the latest transaction could not be verified.
The CCI filing said, "As an interconnected transaction to the Proposed ANI investment, the acquirers also propose to acquire certain minority equity stake in Ola Electric Mobility (OEM)," making it clear that the "acquirers" refers to Hyundai and Kia.
The deal will be Hyundai's third such investment in auto startups. In August 2018, the South Korean automotive giant acquired a stake in Delhi-based car rental startup Revv.
OEM saw a sharp jump in its valuation after the round of fundraising from SoftBank Vision Fund, from $250 million in February to $960 million in July. OEM and its parent company Ola have found common investors in Tiger Global, Matrix Partners India and SoftBank.
Other than that, former Vodafone CEO Arun Sarin has also invested in Ola Electric which currently has Anand Shah at the helm.Get access to India's fastest growing financial subscriptions service Moneycontrol Pro for as little as Rs 599 for first year. Use the code "GETPRO". Moneycontrol Pro offers you all the information you need for wealth creation including actionable investment ideas, independent research and insights & analysis For more information, check out the Moneycontrol website or mobile app.
