India’s cab haling firm Ola is in discussions to invest or even acquire Myra Medicines, a medicine delivery startup based out of Bangalore which shares Matrix Partners as common investor with Ola, reported LiveMint today.
Spearheaded by Matrix, the deal — either investment or buy out — is expected to close by the end of this month, which will mark Ola’s entry into the burgeoning online medicine delivery segment as the company’s primary business of cab-aggregation is experiencing a slowdown, said the report, citing two people familiar with the company’s plans.
The development comes within a month after Ola had invested $100 million in Vogo, a scooter rental startup based out of Bangalore, which will allow OLa to add Vogo fleet of two-wheelers to the Ola app and rent them out.
Founded in 2014, by Anirudh Coontoor and Faizan Aziz, Myra operates its own full-stack warehouse of medicines and allow its customer to order Medicine for doorstep delivery via its app. Myra currently offers medicine delivery in select areas in Bangalore and Mumbai.
The report further said that the Myra deal is part of Ola’s strategy where they want to get into all kinds of deliveries. Moreover, for Myra Medicines, the deal will help the startup to bail out as it has been struggling in the highly competitive medicine delivery space.
In April 2017, Myra secured Series A round of funding co-led by Matrix Partners India and Times Internet. This was followed by fundraise of ₹12 crores in a venture round led by Dream Incubator, in March last year.
The startup had previously raised a seed round led by Matrix Partners India. Few prominent entrepreneurs and angels which have invested in Myra include — Pranay Chulet, co-founder & CEO of Quikr, Prashant Malik, co-founder & CTO of LimeRoad, Vamsi Duvvuri, Associate Director of Vy Capital and Pankaj Gupta, Ex Director-Product of Twitter among others.
About acquisition by Ola, the billion-dollar startup has acquired five companies to date. The most recent acquisition was Ridlr, a public transport ticketing app, in April 2018. Other acquisition include Foodpanda, TaxiForSure, Geotagg and Qarth, a Chennai-based developer of mobile payment app ‘X-Pay’.