South Korean automobile maker Hyundai and its affiliate Kia Motor’s US$300 million investment in Ola might have hit a roadblock due to the cab-hailing service’s trouble with Competition Commission of India (CCI).
The strategic partnership was announced in March, 2019, under which the three companies are planning to collaborate to build India-specific electric vehicles and infrastructure.
When the application was sent to CCI for approval, the government body asked ANI Technologies, Ola’s parent company, to define the “competitive landscape” for electric vehicles and their use in ride-hailing services, as it didn’t want to create a favorable atmosphere for one automobile company. But Ola failed to submit its report on time and its application for the clearance has now become invalid.
Full Content: Asia Nikkei
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