Ola Electric IPO coming soon, company will raise Rs 5500 crore
Ola Electric IPO: The country's leading 2-wheeler electric company Ola Electric will soon launch its IPO. The company has also submitted draft papers for this to the market capital regulator SEBI. In its IPO, Ola Electric is going to make a fresh issue of equity shares worth up to Rs 5500 crore and an offer (OFS) of 9.52 crore equity shares to promoters and investors.
Electric two-vehicle company Ola Electric is preparing to raise funds through an IPO. The company submitted the draft papers of the IPO to the market regulator SEBI on Friday. After 20 years, any vehicle maker company in the country is raising funds through IPO.
According to the draft red herring prospectus (DRHP) filed by Ola Electric, the company is planning a fresh issue of equity shares worth up to Rs 5,500 crore and an offer for sale (OFS) of up to 9.52 crore equity shares by promoters and investors.
Ola Electric's equity shares will be listed on BSE and NSE. Along with this, the company book-running lead managers are Kotak Mahindra Capital Company, Citigroup Global Markets India, BofA Securities India, Goldman Sachs (India) Securities, Axis Capital, ICICI Securities, SBI Capital Markets, and BOB Capital Markets.
The company will use the funds raised through the IPO for OCT of the Ola Gigafactory project, capital expenditure, loan repayment to the subsidiary, investment in research and product development and corporate expenses.
Ola Electric produces EV and core EV components such as battery packs and motors at its Ola FutureFactory in Bengaluru. The company plans to build an EV hub in Tamil Nadu, which will include the Ola FutureFactory, the upcoming Ola Gigafactory and other components.
About Ola Electric:
- Ola launched its first EV scooter Ola S1 Pro in 2021. There are currently 5 scooters in the company's portfolio.
- Within 9 months of launching the electric scooter, the company has become the largest-selling E2W player in the country based on E2W registrations listed on the vehicle portal of the Ministry of Road Transport and Highways.
- The company's share in the E2W market is 31 per cent by the June 2023 quarter. The company's focus is on the Indian market as well as the global market.
- According to the draft, the company operates its direct-to-customer (D2C) omnichannel distribution network till October 31, 2023. It has 935 experience centres and 414 service centres available in the country.
- Talking about the financial year 2023, the operational revenue of the company is Rs 2,630.93 crore, which has increased by about 7 times in the last year.
