Updated February 5th, 2024 at 21:43 IST
Vanguard marks down Ola's valuation to $1.9 billion, 74% lower than peak
The valuation cut comes even as Ola narrowed its net loss in the fiscal year, reporting a loss of Rs 772 crore in FY23 compared to Rs 1,522 crore in FY22.
Ola valuation update: US-based Asset Management Company (AMC) Vanguard has once again reduced the fair value of ANI Technologies, the parent company of Ola, according to the latest regulatory filings. This marks the third consecutive markdown, placing Ola's valuation at around $1.9 billion. The current valuation is 74 per cent lower than its peak at $7.3 billion in December 2021.
In the recent adjustment, Vanguard lowered Ola’s valuation despite the ride-hailing platform narrowing its net loss in the fiscal year, reporting a loss of Rs 772 crore in FY23 compared to Rs 1,522 crore in FY22. However, its consolidated revenue witnessed a nearly 42 per cent YoY increase to Rs 2,799 crore.
Vanguard, holding 166,185 shares of ANI Technologies, constituting approximately 0.7 per cent stake in Ola, had previously slashed Ola's valuation in May 2023 from $4.8 billion to $3.5 billion. This move aligns with an ongoing trend of investors readjusting startup valuations in the market.
Despite these successive markdowns, Ola's parent company has shown fiscal improvement, aiming for self-reliance in green energy and positioning itself as a hub of innovation, research, and manufacturing. The valuation adjustments are reflective of broader market dynamics and internal assessments by AMC rather than indicating a permanent shift in the startup's overall worth.
Published February 5th, 2024 at 21:43 IST