Ola, India’s largest mobility platform, has successfully raised $500 million via a Term Loan B (TLB) from marquee international institutional investors.
The proposed loan issuance received a staggering response from investors with interest and commitment of approximately US$1.5B.
Ola is one of the first Indian startups to be publicly rated by Moody’s and S&P, two of the leading international rating agencies. S&P and Moody’s rated Ola’s first lien term loan as B- and B3 respectively, with a ‘stable’ outlook, on the back of strong unit economics and profitability in its market leading Indian ride hailing business.
This is a milestone transaction as Ola is among only a few Indian companies to raise capital through the TLB route. Ola is expected to utilize the term loan to fuel its vision for the future of mobility across its various businesses including ride hailing, vehicle commerce, delivery with foods, quick commerce and financial services.
Bhavish Aggarwal, Founder & CEO, Ola said “The overwhelming response to our term loan B is a reflection of the strength of our business and our continued focus on improving unit economics alongside rapid growth. At Ola, we are accelerating our journey towards building the New Mobility ecosystem to help a billion people move sustainably.”
J.P. Morgan and Deutsche Bank served as the joint lead arrangers for this financing.