Ola Electric to Invest ₹2,000 Crore in EV Battery Production as Competitors Gain Ground

Ola Electric has filed documents with the National Stock Exchange and Bombay Stock Exchange, disclosing plans to invest ₹2,000 crore in two of its subsidiaries, in line with regulatory requirements. The declared reason is “to support business requirements” of each company.

The parent company will infuse ₹1,500 crore into Ola Electric Technologies Pvt Ltd (OET), and ₹500 crore into Ola Cell Technologies Pvt Ltd (OCT), using compulsory convertible preference shares. The 150 crore and 50 crore shares respectively are valued at ₹10 each.

The transactions are expected to be completed a year from now, on May 14, 2027. Both companies will remain wholly-owned subsidiaries of Ola Electric Mobility Ltd. The decision was confirmed at a company board meeting held on May 15.

In April this year, the company moved ₹127.64 crore from OET into OCT, which came after securing approval to raise ₹877.64 crore by issuing preference shares in October last year. In March 2026, the company proposed to change its allocation of IPO proceeds to prioritise debt repayment and organic growth over R&D. Ola Electric’s IPO opened in August 2024, and raised around ₹5,500 crore at ₹76 per share. The stock spiked to ₹153.80 per share shortly after, but then soon declined. It currently trades at ₹35-37 after touching a historic low of ₹22.80 in March.

Ola Electric began mass production of its own 4680 “Bharat cell” batteries, which are now used in multiple shipping electric bike models. The company’s market share declined nearly 50 percent in 2025, from 36.7 percent in 2024 to just 16.1 percent as incumbent Indian bike manufacturers strengthened their EV portfolios and networks.

In its declaration, Ola Electric has said both companies will remain wholly-owned subsidiaries. OET, which was incorporated in January 2021, is listed as “engaged in the business of providing services across the electric vehicles value-chain, and manufacture and supply of electric vehicles”, with a turnover of ₹4,717.48 crores in FY 2024-25. The filing describes OCT as “engaged in the business of manufacturing, processing, assembling, export, selling, repairing and distribution of batteries/cell”. It was incorporated in July 2022 and reported turnover of ₹73 crore in FY 2024-25.