Jan 15: Chinese bike rental service company Ofo is set for an Indian foray through a tie-up with Paytm. The route taken by Ofo, through a Paytm pact, is likely to catapult the Beijing-based bike rental player towards gaining a stronghold in the Indian market.
Paytm has already been enjoying much popularity and acceptance among Indian users. This strength it boasts of can be of help to Ofo to expand operations in the country. Significantly enough, Alibaba is a major investor in Paytm and Ofo, and that would help take the Ofo ride on to better terrain in India.
It is being said that the Ofo bicycle sharing app will be available on Paytm app along with its standalone mobile app. Ofo, according to a report, had raised $700 Mn from Alibaba in July 2017.
In the initial phase, Ofo is likely to begin operations in Chennai, and then it would take its services to Ahmedabad, Indore, and Bengaluru. Bike rental services are likely to be priced around Rs 65 per hour in these cities.
Taking its plans forward for a pan Indian presence, Ofo has also inked a memorandum of understand with the Pune Municipal Corporation, it is being reported. The MoU aims at creating city-wide bicycle networks.
Ofo is a prime player on the Chinese bike rental space with around 170 cities boasting of its services This apart, the company has presence in Singapore, the US, Austria, Thailand, the UK, Russia, Italy, Australia and Kazakhstan too.