Ola Electric seeks up to ₹1,000 crore through shareholder rights issue
Ola Electric’s board approved a rights issue to raise as much as ₹1,000 crore, targeting existing shareholders including the promoter group.
In a regulatory filing, Ola Electric announced that its board has green-lit a rights issue of partly paid-up shares to raise up to ₹1,000 crore. The offer will be made to shareholders recorded on a date to be set, and will require the usual statutory approvals. Sources say part of the capital will be used to repay existing loans, while the majority will finance battery-cell technology and provide liquidity for the company’s near-term needs.
Promoter group leader Bhavish Aggarwal, who owns roughly a third of the firm, is expected to invest a proportional amount. The fundraising follows an earlier plan to mobilise up to ₹1,500 crore and a ₹780 crore qualified institutional placement earlier this year. Ola Electric is shifting to a dealer-partner model, aiming for over 500 outlets, and hopes the capital will bring it to a cash-breakeven point without further near-term fundraises.
Why it matters
The capital raise could secure Ola Electric's path to profitability and expand its battery-cell business.
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