Ola said to be raising $2B from SoftBank, Tencent and others

While its competitor Uber is battling serious issues both inside and outside the company, Ola, India's largest ride-hailing firm is raising over $2 billion from a group of investors, including Japan's SoftBank and Tencent Holdings, Bloomberg reported.

The first part of the deal will see the cab aggregator raise $1 billion. This is going to get closed soon and it'll see participation from Ola's largest investor, Softbank. The sub-round will be led by Chinese Internet giant Tencent and will see an investment of $400-500 million from them.

Moreover, the funding is also backed by venture capital fund UC-RNT Fund, created out of a partnership between Ratan Tata and University of California's investment arm, that will be investing $50 million in the cab-hailing firm.

The latest investment will help Ola to build both its supply of vehicles and drivers as well as strategic technology to help it win against Uber. The fresh round of investment has valued the Bangalore based startup at more than $3.8 billion. The funding round isn't completed yet so the amount could change. There has been no official comment from Ola, SoftBank, or Tencent on the investment so far.