Taxi For Sure Acquired by OLA Cab in Rs.1240 Crores - March 2015 Latest News

India’s largest online cab service provider OLA acquired TaxiForSure for $200 million in a deal. The OLA and TaxiForSureacquisition is the biggest acquisition in the domestic consumer internet space after Flipkart’s acquisition of online fashion store Myntra in 2014.

Ola and TaxiForSure will continue to function as independent entities.TaxiForSure co-founders AprameyaRadhakrishna and Raghunandan G will exit the company after ensuring a smooth transition. They will contribute in an advisory role for a certain period while present COO Arvind Singhal will take charge as the CEO of TaxiForSure.

The entire senior leadership and around 1700 employees of TaxiForSure will be retained as it is. Ola and TaxiForSure have different approaches in the supply side. The TFS works on an operator-led model while Ola works with driver entrepreneurs. On the customer side, TaxiForSure has been focusing on the economy segment. There is a great complementary value in it and that is why we are keeping them as two separate brands.

TaxiForSure has been losing ground, especially after Ola raised $210 million from Japan’s SoftBank last October at a pre-money valuation of $660 million.TaxiForSure is founded by IIM-Ahmedabad graduates Raghunandan G and AprameyaRadhakrishna.

TaxiForSure is seen as an attractive buy also because it works with taxi operators, unlike Uber and Ola which work directly with drivers. With this deal, Ola gets connected to all of TaxiForSure's cab operators.