Alibaba-backed Chinese dockless bike rental company Ofo has shut down its operations in India following reports of a cash crunch. It fired most of its 30 employees in India.
Rajarshi Sahai, director of public policy and communications, Ofo, said, “We are shutting down our country operation. It is part of a global strategy to shrink the footprint.”
“We want to leave the country on a positive note. We have completed 1 Mn rides across seven cities in 10 weeks of operations. I hope that the other players in the ecosystem will take the opportunity to grow,” he added.
Ofo had launched its operations in various campuses and gated communities.
It had announced signing MoUs with the Pune Municipal Corporation (PMC) and Coimbatore City Municipal Corporation (CCMC), followed by a series of pilot launches of services in seven cities — Chennai, Coimbatore, Indore, Ahmedabad, Bengaluru, Delhi and Pune.
The company shut down its operations in Coimbatore in June.