October 1, 2025 — Ola Electric Mobility Limited has announced that its wholly owned unit, Ola Cell Technologies (OCT), will invest up to ₹877.64 crore into another group arm, Ola Electric Technologies (OET).
The investment will be made by subscribing to over 87.76 crore preference shares (OCRPS) issued by OET, which is also a wholly owned subsidiary of Ola Electric. This move follows shareholder approval to re-deploy IPO proceeds granted at the company’s AGM in August 2025.
Why This Matters
- Purpose: Capital will strengthenOla Electric Technologies (OET)s electric two-wheeler and EV component business, including batteries, motors, and R&D.
- Structure: Intra-group transaction, classified as related-party, but on an arm’s length basis.
- Timeline: To be completed within 1 year of Ola Cell Technologies (OCT)s approval.
- Consideration: Entirely cash-based.
Ola Electric Technologies (OET) Snapshot
- Incorporated: January 2021
- FY25 turnover: ₹4,510 crore
- Focus: EV development, battery packs, vehicle frames, motors
- Sales model: Direct-to-consumer (D2C) network
Ola Electric Share Price Update 📉
- Current price (Oct 1, 2025): ~₹56 (NSE)
- Fall from high: Over 70% down
- 52-week low: Around ₹40
The stock has been under pressure due to mounting losses, regulatory concerns, and recent exits by key investors like Hyundai and Kia.
What’s Next?
Investors will watch:
- How OET utilizes the capital (R&D, scaling, cost efficiency)
- Any improvement in group financials
- Regulatory updates on compliance issues
- Whether Ola Electric can reverse investor sentiment amid rising competition in India’s EV market
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