Ola signs agreement to acquire neo bank Avail Finance


With this expansion, Ola will be able to cross-sell multiple lending products to its large driver-partner base

Topics


Ola | Avail Finance

Ola

(Photo: Bloomberg)

Mobility firm Ola has signed an agreement to acquire neo bank Avail Finance which provides financial services to the blue-collared workforce and has over 6 million users, the company said on Thursday.

The acquisition is a key step in Ola’s broader push into the fintech space as it looks to build a mobility-focused financial services business under Ola Financial, it stated.

“With this acquisition, Ola Financial Services will further strengthen its play in the credit underserved segments that comprise blue-collar workers such as Ola’s driver-partner ecosystem. The deal is subject to shareholder approval,” Ola said.

With this expansion, Ola will be able to cross-sell multiple lending products to its large driver-partner base.

Ola recently invested nearly Rs 800 crores into its financial services business. The company is offering a buy now pay later service, Ola Postpaid, to its four crore customers.

(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)

Dear Reader,


Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.


We, however, have a request.

As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.

Support quality journalism and subscribe to Business Standard.

Digital Editor

First Published: Thu, March 24 2022. 23:05 IST