Tata Group and taxi aggregator Uber has entered into sales and financing deal which is worth USD 160 million (INR 1,078 crore). This deal comes to light when Mahindra is reportedly in talks with the taxi aggregators for a similar arrangement.
The agreement will involve Tata Group companies including Tata Motors, Tata Capital, Tata Motors Financial, etc.
The deal aims to offer a complete one-stop-shop solution for customers who are planning to set up their micro businesses on the Uber platform. As a part of the deal, Tata Motors will supply Indicas and Indigos at a discounted rate, while Financial and Capital divisions will offer loans.
Tata AIG will take care of insuring the uber cabs that are bought through this deal. Tata Business Support Services will be providing operational support to the customers in availing this comprehensive solution.
This deal which has kick started in the state of Telangana will be expanded across the country in a phased manner. The deal is expected to benefit 20,000 Uber drivers.
While Uber will have a better chance of attracting cab owners with a hassle-free solution on offer, the deal will help the Tata Group companies involved improve their businesses. We could see more such deals between conglomerates (that have car manufacturing as their prime business) and taxi aggregators in the near future.