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  • Ola Electric Secures Board Approval to Raise INR 1,500 Crore via Securities

    In an exchange statement on 25 October, Ola Electric Mobility stated that the board had authorised funding up to INR 1,500 crore through the issuance of securities. A plan to raise money through the issuance of shares or convertible securities, including warrants, through rights issues, qualified institutional placements, private placements, or any other method allowed by applicable laws has been reviewed and approved by the board, according to the Bengaluru-based electric vehicle manufacturer. No more than INR 1,500 crore will be raised in total. The EV manufacturer did not reveal why the money was being raised.

    Ola’s Fund Raising History

    The board of Ola Electric authorised the issuing of Non-Convertible Debentures (NCDs) or any other suitable debt securities on May 22 of this year in order to raise 1,700 crore. Additionally, the business stated that it will raise money through working capital facilities and term loans.

    The company had stated in a filing that the Board of Directors of Ola Electric Mobility Limited (“the company”), at its meeting on May 22, 2025, has, among other things, considered and approved the proposal of fundraising by borrowing funds within the borrowing limits approved by the shareholders of the company. This fundraising will be conducted through the issuance of Non-Convertible Debentures (NCDs) or any other eligible debt securities in one or more tranches, on a private placement basis, or through such other methods as may be permitted under applicable laws.

    Ola Electric to Expand Through Fund Raising

    Ola Electric was founded in 2017 and raised more equity when it went public in August 2024. Market share erosion and regulatory enquiries, such as discrepancies between reported sales and car registrations, have been challenges for the company since listing.

    Due to increased competition from car giants like Bajaj Aito and TVS Motor Company, the company’s market share has also decreased. As the electric scooter manufacturer struggled with a steep decline in sales, Ola Electric reported a larger net loss for the April–June quarter (Q1) of 2025–26 (FY26). The company’s consolidated loss for the same time last year was INR 428 crore, up 23% from INR 347 crore.

    Quick Shots

    •Ola
    Electric’s board has approved raising INR 1,500 crore through shares or
    convertible securities.

    •Total
    amount to be raised capped at INR 1,500 crore.

    •In
    May 2025, Ola Electric raised INR 1,700 crore via Non-Convertible Debentures
    (NCDs) or other debt securities.

    •Additional
    funds were raised through working capital facilities and term loans.

    •Founded
    in 2017, went public in August 2024.

    •Faces
    market share erosion and regulatory scrutiny over sales vs. registration
    discrepancies.

    •Q1
    FY26 net loss: INR 428 crore (up 23% from INR 347 crore last year).

    •Competition from Bajaj Aito and TVS
    Motor Company impacting sales and market share.

  • Ola Electric Shares Surge Amid Reports of Expansion Plans in Energy Segment

    On October 15, Ola Electric shares are anticipated to be the subject of attention due to signs that the firm plans to enter the energy sector in addition to its primary electric vehicle business. Ola Electric, the largest pure-play EV firm in India, said in an official statement that it would like to notify you that on October 17, 2025, it will introduce a new product in the energy sector through a social media premiere.

    This comes after remarks made by Bhavish Aggarwal, the chairman and managing director of Ola Electric, who recently alluded to a strategic change away from the business’s current electric vehicle activities. Power in India is shifting “from utility to deep tech — intelligent, portable, and personal,” according to Aggarwal’s tweet, implying a wider reach in the energy sector.

    According to industry sources, Ola Electric’s planned announcement might be related to the company’s foray into the Battery Energy Storage Systems (BESS) market. Despite its infancy, the Indian energy storage market is expected to grow to a value of over USD 30 billion by 2030, according to industry projections.

    Ola Likely to Use 4680 Bharat Cell Technology                                  

    According to other sources, the business may use the 4680 Bharat Cell technology it now has, which was created at its Gigafactory in Tamil Nadu, for this possible new endeavour. According to reports, the company’s 5 GWh manufacturing capacity may be modified for storage applications without requiring a significant financial investment, and its current network of Ola Electric outlets might serve as distribution centres for energy solutions for homes and businesses.

    Compared to conventional BESS infrastructure projects, the model under consideration is anticipated to be asset-light, potentially enabling faster market entry. The growing need for distributed energy solutions throughout India is reportedly the main driver of the Total Contract Value (TCV) movement in this sector.

    How this Could be a Game Changer Move for Ola?

    Ola Electric may profit from its current infrastructure and domestic manufacturing skills if it decides to enter the energy storage business. Such actions are also perceived as being supported by the Indian government’s concentration on domestic production. After Aggarwal formally announces the intentions on October 17, which might be Ola Electric’s official entry into the energy storage market, more details are anticipated. Ola Electric Mobility’s stock ended Tuesday’s trading session flat on the BSE at INR 50.08. 

    Quick
    Shots

    •Ola Electric shares draw attention
    amid reports of entry into the energy sector.

    •Ola to unveil a new energy product on
    October 17, 2025, via social media.

    •Chairman Bhavish Aggarwal hints at a
    strategic shift from EVs toward intelligent, portable, personal energy
    solutions.

    •Indian energy storage market
    projected to exceed USD 30 billion by 2030.

    •Likely use of 4680 Bharat Cell
    technology from Ola’s Tamil Nadu Gigafactory.

  • Ola Electric Faces Investor Pullback Ahead of IPO

    In 2019, Z47 made their initial investment of INR 107 crore in Ola Electric. The AI startup Krutrim and the ride-hailing company Ola Cabs are also owned by the venture capital fund.

    Z47 and Tiger Global’s Exit Strategy

    In October of last year, ET revealed that Z47 is reducing its ownership of Ola, the fintech startup Razorpay, the business-to-business (B2B) commerce company OfBusiness, and the local language content platform Dailyhunt in order to generate $150–180 million. At the same time, Tiger Global Management reduced its ownership of Ola Electric from 3.45% three months before to the end of June 2025 to 3.24%.

    Through its Internet Fund III, Tiger Global currently owns INR 585 crore in the EV manufacturer. In June, Hyundai Motor Company and Kia Corporation made INR 552 crore and INR 137 crore from the sale of about 10.88 crore and 2.7 crore shares, respectively.

    Ola Electric’s Financials: Revenue Drop and Profit Focus

    As sales suffered in the face of heightened competition in India’s E2W sector, Ola Electric’s operational revenue for the first quarter virtually halved compared to the same period last year, and its loss increased. For the quarter that ended on June 30, the company reported a net loss of INR 428 crore on revenue of INR 828 crore.

    The net loss decreased to less than half from INR 870 crore in the January-March quarter, but it increased from INR 347 crore a year earlier. In the March quarter, it reported operating revenue of INR 611 crore. During an earnings call, Bhavish Aggarwal, the business’s founder and managing director, stated that the company has now shifted its focus to profitability.

    What’s Next for India’s EV Giant?

    According to Aggarwal, the company has shifted from a strategy of aggressive penetration to one of more balanced and profitable expansion. Following a period of hypergrowth, the industry is now consolidating and is expected to experience another upswing soon. It’s time to combine operations till then.

  • Ola Electric Q1 Jolt: Loss Swells to INR 428 Cr as Revenue Halves YoY

    On July 14, Ola Electric, a maker of electric two-wheelers, reported a larger consolidated net loss of INR 428 crore for the first quarter of the fiscal year 2025–2026 (Q1 FY26). In the same time frame last year, the company managed by Bhavish Aggarwal reported a net loss of INR 347 crore.

    Nonetheless, the loss decreased from INR 870 crore reported at the end of the March quarter of FY25 on a quarter-on-quarter (QoQ) basis. As a result of fierce competition hurting sales, the company’s consolidated revenue from operations fell 49.6% year over year (YoY) to INR 828 crore in the June quarter.

    In the same time of the previous fiscal year, Ola Electric generated INR 1,644 crore in revenue. However, the performance got better one after the other. In the March 2025 quarter, the company reported INR 611 crore in revenue.

    Major Factors Hampering the Growth

    Due to fierce rivalry from other companies, including Bajaj Auto, TVS Motor, and Ather Energy, sales drastically decreased throughout the reviewed period.

    In the June quarter of FY26, the company delivered 68,192 units, compared to 1,25,198 units during the same period the previous year. Operating-wise, Ola Electric’s EBITDA loss for Q1 FY26 was INR 237 crore, which was more than the INR 205 crore reported in Q1 FY25.

    The margins were -28.6% as opposed to -12.5%. June was the first EBITDA-positive month for the car industry, and the auto segment’s EBITDA improved significantly to -11.6% from -90.6% in Q4 FY25. In contrast, the gross margin increased YoY from 18.4% to 25.8%.

    Ola’s Letter to its Stakeholders

    In a letter to shareholders, Ola stated that because of its emphasis on vertical integration and in-house technology, Gen 3 BOM reduction has led to the company’s greatest GM performance to date. This trend is expected to continue over the next quarters.

    According to the company’s FY26 exit plan, its GM should be between 35 and 40% with PLI incentives, or between INR 40,000 and INR 45,000 per vehicle. Project Lakshya, the company’s cost-optimisation project, has reduced monthly auto opex from INR 178 crore to INR 105 crore, resulting in considerable operating efficiency.

    The company stated in a press release following the earnings announcement that consolidated opex currently stands at INR 150 crore per month and that a further reduction to about INR 130 crore per month is targeted through FY26.

    Ola anticipates making between INR 4200 and INR 4700 crore from the sale of 325,000 to 375,000 automobiles.

    The company also stated that it expects full-year auto EBITDA of above 5% and that gross margin would increase to 35% to 40% with Production Linked Incentive (PLI) benefits starting in Q2 for the Gen 3 product range. From Q2 onwards, Ola stated, “The company also expects the auto business to remain EBITDA positive.”

  • Hyundai & Kia Offload INR 690 Cr Stake in Ola Electric in Major Bulk Deal

    Kia, another South Korean automaker, has decreased its ownership in the EV company, while Hyundai Motor has sold off all of its shares in Ola Electric. According to a news agency, the total share sale brought in about INR 6.89 billion ($80 million).

    Hyundai, which had previously owned 2.47% of the company, sold its shares at INR 50.70 a share, according to exchange records made public on June 5.

    At INR 50.55 per share, Kia sold off 0.6% of its ownership. Kia initially owned less than 1% of the company, and as exchange data does not show stakes below 1%, its present ownership is unknown. Ola Electric’s share price dropped 8% on 5 June as a result of the disposals.

    The stock fell as a result of both sales being priced at a discount of almost 6% to the closing price on 4 June. With intentions to work together on the development of electric vehicles and charging infrastructure with Bhavish Aggarwal’s business, Hyundai and Kia had already invested $300 million in Ola Electric in 2019.

    Ola Navigating Through Troubled Waters

    For Ola Electric, the divestment occurs during a challenging period. The business has been battling declining sales, increased competition from well-known two-wheeler producers, and regulatory scrutiny.

    Since August 2024, when it went public, its stock has fallen 46%. Ola Electric has predicted a drop in revenue for the first quarter of the new fiscal year and revealed a larger fourth-quarter deficit.

    In order to combat competition, the company has been offering high discounts, which has put additional strain on its earnings.

    In addition, Ola has come under further scrutiny for the way it counts car reservations and has been the target of searches and car seizures by local transport authorities for noncompliance with regulations. On the NSE, Ola Electric Mobility’s shares fell 7.58% to settle at INR 49.61 per share.

    Ola’s Recent Financial Dynamics

    Ola Electric stated this week that it is aiming for profitability in the current fiscal year, despite reporting a consolidated net loss of INR 870 crore for the fourth quarter that ended on March 31, 2025.

    In the January–March quarter of the fiscal year 2023–24, the corporation reported a net loss of INR 416 crore. According to the corporation, operating revenue decreased to INR 611 crore from INR 1,598 crore during the same time last year.

    The company’s net loss for FY25 was INR 2,276 crore, compared to INR 1,584 crore for the fiscal year 2023–2024. It further stated that its operating revenue decreased to INR 4,514 crore from INR 5,010 crore in FY24.

  • Ola’s Identity on the Line? Aggarwal’s IP Shift Plan Raises Eyebrows

    As part of the ongoing restructuring, Ola founder Bhavish Aggarwal wants to move ANI Technologies’ intellectual property (IP) rights to the Ola name to a holding firm run by his family office.

    As the larger markets and sectors change, Ola’s spokesman informed a media outlet that the group’s structure is being proactively reconfigured to generate greater value and operational agility. This change will be implemented carefully and announced at the appropriate moment.

     Investors in ANI are concerned about the decision because they fear they may lose out on future brand value. In exchange for royalties, ANI Technologies currently licenses the Ola brand to Ola Electric. ANI shareholders might not receive these future profits if the brand intellectual property is transferred out of the company.

    ANI Investors Holds no Stake in Ola Electric and Krutrim

    The matter is delicate because neither Aggarwal’s artificial intelligence (AI) startup Krutrim nor his electric mobility business Ola Electric are owned by ANI’s backers. The move’s structure and whether board or investor approval would be necessary are still unknown.

    If the transfer is successful, Aggarwal will have more freedom to use the brand in all of his endeavours while maintaining control from his family office. In order to promote and grow his AI business, Krutrim Aggarwal promised in December to use 1.1% of the company’s equity share capital, or around INR  452 crore, to facilitate funding through debentures.

    As it considers the launch of an initial public offering (IPO) of the ride-hailing company, ANI Technologies, the parent company of Ola Cabs, has started preliminary talks with investment banks.

    Ola Already in Lot of Trouble

    Ola Electric is under more pressure than ever after the Transport Ministry requested trade certificates from the Bengaluru-based EV manufacturer. According to a media outlet, the company received a show-cause notification .

    The notice stated that Ola Electric must respond to the aforementioned questions within seven days of receiving this letter in order to prevent any negative consequences.

    On 24 April, Ola received a new show-cause notice that requested information on the number of sales and service centres the business now operates. The notice further asked about the number of trade certificates it has obtained in the last three years and the date of issuance of each certificate.

     Additionally, Ola Electric must clarify if its facilities are used to store unregistered automobiles. In addition to the aforementioned, the EV manufacturer must disclose the model and variant-by-variant information for the 7,820 EV scooters it sold in February.

    Ola Electric stores operating without a trade certificate have been asked to close by the Maharashtra transport department, according to a media source. In a show-cause email to RTOs, Maharashtra’s joint transport commissioner stated that action should be taken to close the centre and rescind the original trade certificate.

  • ‘Missing Trade Certificates’ Put Ola Under Government Investigation

    Ola Electric is under more pressure than ever after the Transport Ministry requested trade certificates from the Bengaluru-based EV manufacturer. According to a media outlet, the company received a show-cause notification .

    The notice stated that Ola Electric must respond to the aforementioned questions within seven days of receiving this letter in order to prevent any negative consequences.

    Notice Also Seeking Details of Sales and Service Centres

    On 24 April, Ola received a new show-cause notice that requested information on the number of sales and service centres the business now operates. The notice further asked about the number of trade certificates it has obtained in the last three years and the date of issuance of each certificate.

     Additionally, Ola Electric must clarify if its facilities are used to store unregistered automobiles. In addition to the aforementioned, the EV manufacturer must disclose the model and variant-by-variant information for the 7,820 EV scooters it sold in February.

    Ola Electric stores operating without a trade certificate have been asked to close by the Maharashtra transport department, according to a media source. In a show-cause email to RTOs, Maharashtra’s joint transport commissioner stated that action should be taken to close the centre and rescind the original trade certificate.

    Outcome of the Raid Conducted on Ola Outlets

    Out of 146 Ola stores overall, 121 were discovered to be operating without a trade certificate at the time of the raid. 192 Ola electric scooters have been confiscated by the authorities, and 75 of these have already been closed.

    Regarding a letter from the authorities ordering the immediate closure of more than 100 showrooms in Maharashtra, Ola responded in an exchange filing on April 25. It stated that the brand was unaware of any such conversations or occurrences.

    Furthermore, through its notification dated March 21, 2025, the business has already notified the exchange that it has received notices in four states about trade certifications for outlets situated in those states.

    Unit Sale Discrepancy

    The e-scooter manufacturer was recently under investigation for a discrepancy between its reported February sales and actual registrations. Ola reported selling over 25,000 units in their filing on February 28.

    The official portal’s automobile registration tally, however, provided a different picture. Only 8,600 Ola Electric scooters were registered on the portal during that time, according to the data.

    Since the government has become aware of this disparity, the ministries of highways, road transport and heavy industries have asked the business for information in order to elucidate Ola’s sales numbers.

    The “large gap” between car registrations according to the VAHAN portal and sales according to the company’s regulatory filing on February 28, 2025, for the month of February this year is the subject of these enquiries.

    In response, the SoftBank-backed company informed the ministry that its February sales comprised client reservations for 1,395 Roadster X motorcycles and 10,866 third-generation e-scooters. The business called them “confirmed orders”.

  • Ola Electric Faces Major Setback in Maharashtra as 75 Stores Shut Down

    Ola Electric, a premier name in India’s electric vehicle sector, is facing a severe regulatory setback. The Maharashtra Regional Transport Offices (RTOs) took a hard look at the company’s outlets, a total of 146 spread across the state. What they found was alarming: 121 of these outlets were supposedly running without the most basic legal documents, a trade certificate, that every outfit in this sector is required to have under the Central Motor Vehicles Act. 75 of these outlets have been put on notice, told to close up, with a total of 192 scooters impounded as part of the revenue recovery effort.

    The inspections began in early March 2025, in response to reports of growing numbers of vehicle dealerships operating without trade certificates or using a single certificate among several stores, notably in Mumbai and Pune. Under the law, an authorized trade certificate must be displayed at each location where a dealership sells or services vehicles. Pratap Sarnaik, the Maharashtra Transport Minister who led this crackdown, has made clear that not complying with this law will no longer be tolerated.

    Regulatory Lapses Spark Government Action

    The matter peaked on April 16 when the joint transport commissioner of Maharashtra told all RTOs to shut down Ola Electric showrooms and service centres that were operating in violation of trade certification norms. The move came after a show cause notice and was meant to take immediate effect, with RTOs reporting back within 24 hours that they had closed any offending centre. The commissioner also indicated that any such centres found to be using their trade certificates in a manner that was not intended should have their trade certificates cancelled.

    This action has brought the overarching matter of regulatory compliance into the spotlight; we now see it very clearly, indeed, and the electric two-wheeler market must take note. Ola Electric attained meteoric upward movement in not too long a time, but this swift success may have outpaced the setting and meeting of internal compliance standards that ensure, above all, customers working in the marketplace are safe, also ensuring that the company functions in accordance with the law.

    Ola’s Response and Market Resilience

    Ola Electric is facing increasing pressure, but it has attempted to remain steady. The company has responded to the media reports by saying that the allegations are speculative and misplaced. A company spokesperson reiterated Ola’s commitment to working with the state’s transport authorities to address what has been reported. The EV maker also stated that it is in the process of obtaining trade certificates for all its operational centres within the state, a procedure they claim was already underway before the enforcement operation.

    Even in the middle of this controversy, Ola is charging ahead with its innovation-driven strategy. The brand recently unveiled the Roadster X, its first all-electric motorcycle lineup. With such features as brake-by-wire technology, cruise control, and even reverse mode, the Roadster X positions Ola pretty squarely as a tech-savvy disruptor in the motorcycle market. And at prices between INR 84,999 and INR 184,999, the lineup is pitched at a broad spectrum of consumers.

  • Ola Electric’s February Sales Included Unlaunched Models, Raises Big Question on Claims

    In order to increase its market share, Ola Electric, run by Bhavish Aggarwal, is facing severe regulatory action. The brand has recently reported to have included bookings for electric motorcycles and scooters that haven’t even been released yet in its February sales. According to a media report, Ola Electric stated in a letter dated 21 March to the Ministry of Road Transport and Highways that 10,866 Gen3 e-scooter and 1,395 Roadster X motorcycle reservations were included in its February sales data. Ola started shipping Gen3 e-scooters last month, but it hasn’t even started shipping Roadster motorcycles yet. Approximately half of the 25,207 “confirmed orders” in February fell into these two groups. According to the report, the ministry therefore wrote to Ola on March 31 to ask for an explanation of its monthly sales. It should be mentioned that, according to data from the Vahan Portal, Ola claimed to have sold 25,000 units in February, but only 8,600 of those vehicles were registered. In the past, the business had referred to it as a “clear case of temporary backlog” brought on by discussions with its vendors that handle vehicle registrations.

    Centre Yet to Launch Formal Investigation

    As per the report, the Centre may investigate Ola’s violations of local regulations or misreported sales. Ola Electric announced it had “nearly cleared” its February backlog in a statement issued on April 1. The firm further stated that it is anticipating clearing the remaining backlog for the February–March period by the end of this month. According to reports, Ola has been instructed by the ministry to update the February 2025 sales figures to only include the units that were invoiced in that month. Additionally, it threatened the business with “adverse action” if it didn’t reply to the letter within seven days. Ola Electric, which is already under regulatory examination for allegedly running stores without trade permits, has suffered yet another setback. Maharashtra RTO officials reportedly inspected Ola showrooms throughout the state last month. Officials further impounded scores of automobiles for noncompliance during a discrepancy between the company’s declared sales figures and real vehicle registrations in February.

    Maharashtra is simply not the only state seeing the crackdown. According to reports, Ola Electric closed all of its showrooms in Punjab, ostensibly to escape criticism from the government for trade certification infractions. Ola received notifications from Madhya Pradesh RTO officials for allegedly selling unregistered scooters without legitimate commercial certifications. The Central Consumer Protection Authority (CCPA) is also looking into the EV manufacturer due to claims of poor car sales, delays in servicing and delivery, and other consumer concerns.

    Recent Financial Outlook of Ola

    Ola Electric reaffirmed that it slashed its monthly cash burn by INR 90 Cr due to cost-cutting measures in its FY25 investor presentation, which was made public on April 1. The company also stated that it anticipated reaching EBITDA breakeven in the automotive segment in Q1 FY26. Despite fierce competition from companies like Bajaj Auto and TVS Motor, the business is proud to have maintained its leading position in the electric two-wheeler industry in FY25 with 344K registrations and 30% market share. But it’s crucial to remember that since the second part of FY25, Ola Electric’s market share has been steadily declining. Its market share in EV two-wheelers actually decreased to 12% in February 2025 before slightly increasing to 18% in March 2025.

  • Inside the Battle Between Registration Agencies and Ola Electric

    Fresh questions about Ola Electric’s approach were raised when a confrontation with vendors, delayed deliveries, and a INR 3,000 crore market rout resulted from an attempt to lower registration fees. Customers who were excitedly anticipating their Ola Electric scooters started to notice an unanticipated delay last month. The typical turnaround time was one week, but delivery took almost a month. Social media was flooded with complaints, and store managers had few responses. A dispute over payments between Ola Electric and its registration agency was at the centre of the disturbance. In addition to frustrating customers and depleting investor wealth by about INR 3,000 crore, the issue halted scooter delivery. The administration has also taken notice of the impact. According to media sources, the dispute has already cost the corporation a top executive, General Legal Counsel Rohit Kumar, who departed due to disagreements over the way the matter was handled. Since its August 2024 stock market debut, this is one of Ola Electric Mobility Ltd’s largest obstacles. After talking to seven executives who were aware of the situation, Mint puts the whole disagreement with the registration agency together.

    The Starting Point of Dispute

    A disagreement between Ola Electric and Shimnit India Pvt. Ltd. and Rosmerta Digital Services Ltd., two of India’s biggest car registration companies, was the beginning of the issue. Since December 2021, the authorities have collaborated with Ola to process vehicle registrations, issuing licence plates and entering client information into the government database. It was a good arrangement for over two years. However, Ola Electric’s sales began to decline by the middle of 2024. Although the company never again reached that milestone, it did reach a peak of 50,000 units in March of last year. People with knowledge of the situation claim that Ola Electric was paying INR 1,400–1,600 for each car for registration, a price determined by the anticipated volume of sales. Ola pressed for severe reductions as part of a larger cost-cutting initiative that was started in November 2024, but the agencies objected, claiming that reduced sales volumes meant greater expenses per unit for them.

    Network Transformation and Opex Reduction Programme

    Ola announced that it had started a Network Transformation and Opex Reduction Program in a statement on March 12. According to the statement, this programme has included projects to alter the distribution network, such as automating registration and shipping vehicles, spare parts, and accessories straight from the plant to retail locations, as well as closing all regional warehouses. According to the corporation, the implementation of this approach has resulted in monthly savings of approximately INR 90 crore. According to media reports, a senior official who is no longer at Ola Electric stated that the company has occasionally been dissatisfied with Rosmerta’s performance. According to media reports, there were occasionally delays that harmed the clientele’s interaction with the business. The corporation decided to stop cooperating with these organisations after determining that the registration procedure could be completed internally.