Chinese investment holding company Tencent has invested a total sum of $400-million in ride-hailing company Ola, valuing the Bengaluru-based company at over $ 3.8 billion. The paper work of the transaction has been finalized and the deal is waiting for an approval from CCI.

Ola Raises Additional Capital from Coatue Management

Tencent’s investment is a part of ongoing financing since November where it has managed to mop up $800 million till now. Ola could raise additional capital as the firm is in talks with US-based hedge funds Coatue Management. Ola has also raised $2 billion in the round from investors like Tencent and Softbank. It has further managed to raise about $150 million from funds like fund RNT Capital Advisors, Falcon Edge, and Tekne Capital Management.

The funding momentum comes after Ola chose to raise capital at a lower valuation of $3 billion — down from $4.5-5 billion out of 2015 from Softbank in November 2016.

Ola Continues to be Market Leader

Ola keeps on being the market leader and finishes roughly 1.5 million rides per day, while its San Francisco-based adversary Uber asserted to finish 1.3 million rides per day in August 2017.

Ola is exiting its operations in Russia, having sold its business there to local player Yandex for a stake in the combined entity. Last year it sold its business in China to Didi Chuxing.