Ola Electric Board Approves ₹1,500 Crore Fundraising Via Securities

Ola Electric Mobility Ltd. has secured board approval to raise up to ₹1,500 crore through the issuance of shares, convertible securities, or warrants via rights issue, qualified institutional placement (QIP), or private placement. 

The announcement, made in a regulatory filing on Saturday, aims to boost the company’s financial position amid mounting losses and intensifying market competition.

The EV maker did not specify the exact purpose of the funds but stated the capital will be raised “as may be permitted under applicable laws.” 

This follows a May 2025 board decision to raise ₹1,700 crore via non-convertible debentures (NCDs) or other debt instruments, alongside term loans and working capital facilities.

Since its public listing in August 2024, Ola Electric has faced significant challenges:

• Market share erosion against rivals like Bajaj Auto and TVS Motor
• Regulatory scrutiny over discrepancies between claimed sales and actual vehicle registrations
• Q1 FY26 net loss widened to ₹428 crore, up 23% from ₹347 crore a year earlier, driven by a sharp revenue drop

The fresh capital infusion is seen as a strategic move to strengthen operations, expand manufacturing, and accelerate R&D in a highly competitive electric two-wheeler segment. 

The fundraising is subject to shareholder and regulatory approvals. No timeline for closure has been disclosed.

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