BENGALURU: After Swiggy and Byju’s, ride-hailing company Ola’s valuation has been slashed.
US-based investment management firm Vanguard Group has cut the valuation of Ola by nearly 35% to $4.8 billion. As of February 22, 2022, the company was valued at $6.7 billion, as per Tracxn report.
According to Tracxn, Vanguard holds 1,66,185 shares of ANI Technologies, which is the parent company of Ola. Previously Vanguard cut the valuation of Ola by 45% in 2020 and 9.5% in 2021. This markdown comes at a time when the company is expected to get listed on the bourses next year.
Two days ago, US-based investment firm Invesco slashed Swiggy’s valuation to $5.5 billion. Earlier it slashed Swiggy’s valuation from $10.7 billion to about $8 billion. This new valuation is about 31% lower than the $8 billion.
Also recently, edtech firm Byju’s valuation was cut to $11.5 billion by BlackRock from $22 billion. This cut comes at a time when the funding for Indian start-ups has dropped significantly. As part of its restructuring exercise, Ola fired about 200 employees across Ola Electric, Ola Financial Services and Ola Cabs.
As per reports, Oyo’s valuation was also recently slashed to $2.7 billion by SoftBank, which is the largest investor in the hotel chain. Many start-ups are struggling with global economic challenges and funding slowdowns. Indian start-ups saw a 75% year-on-year decline in funding in the first quarter of 2023 compared to the same quarter last year.