/Ola takes over Foodpanda India

Ola takes over Foodpanda India

Ola and Foodpanda

Could Ola’s collaboration with Foodpanda India compete against the likes of its rival’s UberEATS app?

Ride-hailing app Ola has entered into a partnership with Delivery Hero Group which has led to Ola’s acquisition of Foodpanda’s India business. Additionally, under the collaboration, Delivery Hero gets some percentage of Ola stock.

Bhavish Aggarwal, Co-founder and CEO at Ola said, “I’m excited about our partnership with Delivery Hero as we team up to take Foodpanda India to the next level. As one of India’s pioneers in the food delivery space, Foodpanda has come to be a very efficient and profit-focused business over the last couple of years. Our commitment to invest $200mn in Foodpanda India will help the business be focused on growth by creating value for customers and partners. With Delivery Hero’s global leadership and Ola’s platform capabilities with unique local insights, this partnership is born out of strength. I look forward to welcoming the Foodpanda India team to the Ola family.

With the deal, Ola will be contributing to expanding Ola’s business in India. Ola will also invest up to $200 million in Foodpanda India.

Niklas Östberg, Chief Executive Officer and Co-founder of Delivery Hero AG said, “The partnership with Ola will allow us to further consolidate markets where it strategically makes sense to collaborate with leading local players. At the same time, we consider our stake in Ola as a very valuable asset, while Ola’s investment commitment in Foodpanda India is a clear and confident signal to the Indian market.

Furthermore, Foodpanda’s CEO- Mr. Saurabh Kochhar has stepped down from his post, which has resulted in Pranay Jivrajka who is a Founding Partner at Ola, in becoming the interim CEO of the company.

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