Ola Electric arm settles dues with Rosmerta Group

Ola Electric Mobility on Tuesday said its arm, Ola Electric Technologies, has amicably settled all dues with its former vehicle registration service provider Rosmerta Group.

Ola Electric Technologies Pvt Ltd has amicably settled all dues with Rosmerta Group. Subsequently, Rosmerta Group has filed a memo for the withdrawal of the said petitions from the NCLT, Bengaluru, the company said in a regulatory filing.

"There are no further claims or disputes pending between the parties in this matter," it said.

The company remains committed to maintaining strong business relationships and ensuring timely resolution of any commercial issues, Ola Electric Mobility said.

Earlier this month, Rosmerta Digital Services Ltd had sought to initiate insolvency proceedings against Ola Electric Technologies Pvt Ltd and a petition was submitted before the National Company Law Tribunal (NCLT), Bengaluru Bench alleging default in payment towards the services rendered by the latter.

Last week, Ola Electric had stated that it discontinued contracts with two nationwide vendors managing its registration process as part of a strategy to streamline operations and drive profitability.

In February, the company had announced that it was renegotiating the terms of the agreement with its two agencies to cut costs and enhance registration process efficiencies as a result of which its registrations were temporarily impacted.