- ByStartupStory | April 30, 2024
Ola Cabs’ newly appointed Chief Executive Officer, Hemant Bakshi, has resigned from his position with immediate effect. His departure comes amidst a major restructuring initiative by the company in preparation for its upcoming Initial Public Offering (IPO), according to sources familiar with the matter.
The news of Bakshi’s exit also brings to light an anticipated downsizing within the organization, with reports suggesting that around 10% of roles could be rendered redundant as part of the restructuring process.
ANI Technologies Founder and Ola Cabs’ Co-Founder, Bhavish Aggarwal, will take on the responsibility of overseeing the day-to-day operations of the company following Bakshi’s departure. Ola Cabs is expected to announce a new appointment to fill the vacant CEO role soon.
The recent restructuring efforts at Ola Cabs have been part of broader changes within the company, including the closure of its international ride-hailing operations in the UK, Australia, and New Zealand, as the company reevaluates its strategic priorities.
Ola’s valuation has also faced downward adjustments by its investors, notably Vanguard, which has consistently lowered its stake valuation over the past year. Vanguard slashed its valuation of Ola Cabs to $1.88 billion in February 2024, down from $2.65 billion as of August 31, 2023, reflecting ongoing challenges within the ride-hailing sector.
Bakshi’s resignation comes just months after he appeared alongside Aggarwal at Ola Cabs headquarters in Bengaluru to announce internal reorganization plans, with a particular focus on expanding the company’s bike taxi operations.
Ola Cabs has yet to respond to queries regarding Bakshi’s departure and the reported restructuring measures. YourStory has not independently verified the details provided by Moneycontrol, the source of the initial report on Bakshi’s resignation and the company’s internal changes.
