Ola Electric raises Rs 780 Cr via QIP
The issue received bids worth about Rs 780 crore, with demand from long-only investors, including global names such as Goldman Sachs and BNP Climate Fund, alongside Indian mutual funds.
Ola Electric Mobility has raised Rs 780 crore through a qualified institutional placement (QIP) that was oversubscribed 56%, driven by strong participation from domestic and global institutional investors, stock exchange data showed on Thursday.
The issue received bids worth about Rs 780 crore, with demand from long-only investors, including global names such as Goldman Sachs and BNP Climate Fund, alongside Indian mutual funds such as Motilal Oswal Mutual Fund, Mirae Asset Mutual Fund, Kotak Mahindra Mutual Fund, JM Financial Mutual Fund, and Baroda BNP Paribas Mutual Fund.
The strong response came despite the volatile equity markets. This signals continued institutional confidence in Ola Electric's growth strategy, technology roadmap and positioning within India's electric vehicle sector.
The QIP was launched at an indicative price of Rs 35.86 per share, while the stock closed at Rs 43.06 on the National Stock Exchange on Thursday, more than 20% above the indicative price and above the regulatory floor price of Rs 37.74.
The fundraise strengthens the company's balance sheet and is expected to support expansion across electric mobility, battery technology development, manufacturing scale-up, and product innovation.
The transaction also expands Ola Electric's institutional shareholder base and underscores investor interest in India's broader electric vehicle transition, even amid market volatility.
The QIP follows a period of heightened investor scrutiny of India's electric mobility sector, with market participants closely tracking companies' ability to scale production, improve operating efficiencies and advance battery technology.
Against this backdrop, the strong institutional participation in Ola Electric's issue highlights investor confidence in the company's long-term growth prospects and the broader structural shift towards electric transportation in India.
With inputs from PTI.
(Disclaimer: Shradha Sharma, Founder and CEO of YourStory, is an independent director at Ola Electric.)