Bhavish Aggarwal-led Ola Electric got the green signal from SEBI for its IPO, making it the first EV startup in India to do so.
The IPO would have a fresh issue of ₹ 5,500 crore and an offer for sale of 9.51 crore equity shares. The draft red herring prospectus stated that Bhavish Aggarwal would sell 4.7 crore equity shares through OFS. Representative image Indus Trust, a promoter group, will offload 41.78 lakh shares.
Ola Electric filed its draft IPO papers with SEBI in December 2023 to raise up to Rs 5,500 crore, which includes a pre-IPO placement of Rs 1,100 crore.
The money to be raised would be used for the following, according to draft papers: Rs 1,226.4 crore capital expenditure of its subsidiary, Rs 800 crore repayment of debt, Rs 1,600 crore research and product development, and organic growth initiatives of Rs 350 crore.
Moreover, Ola Electric had, at the May-end, held 49 per cent of the market share in the electric 2W segment, with 37,191 registrations done on the government's Vahn portal, driven solely by its S1 scooter portfolio.
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