Ola shuts down used car business Ola Cars and quick commerce segment Ola Dash

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Ola has decided to close down its used car business Ola Cars, less than a year after it was launched. The shared mobility major has also decided to shut down Ola Dash, its quick commerce segment, sourced told CNBC-TV18.

Arun Sirdeshmukh, the head of Ola's used car business and Varun Dubey, Head of Marketing at Ola Electric recently quit the company.

Also Read: Ola to shut Dash, its quick commerce business, and merge cars unit with electric division

In an official statement, Ola said that it has shut down Ola Dash, its quick commerce business, and will be recasting its cars business to focus more on strengthening its electric division.

Ola plans to increase pace of investments in electric cars, cell manufacturing, and financial services. Ola Electric surpassed Rs 500 crore in revenue in first two months of FY23 and the company will be launching its second electric scooter before the end of the year.

Moneycontrol had reported recently that Ola, which had plans to list on the bourses this year, was looking to raise a new round of funding at a lower valuation, signifying a sharp reversal in fortune for startups after a record 2021 that saw sky-high valuations in the public and private markets.

Ola was last valued at $7.3 billion when it raised $139 million in its Series J round, led by Edelweiss PE, IIFL, and Sunil Munjal-led Hero Enterprises, in what seemed like the last round of funding before its IPO.