Ola Electric Revs Up for Landmark IPO: Rs 5,500 Cr Sebi Nod Fuels EV Startup’s Public Debut
Ola Electric, the bengaluru-based electric vehicle (EV) startup, has received the green light fom the securities and exchange board of india (Sebi) for its initial public offering (IPO). This move makes Ola Electric the first Indian EV company to go public. The IPO will compromise a fresh issue of value offers worth RS 5,500 crore, along with and offer for sale (OFS) of over 95million value offers, estimated to be worth around RS 1,750 crore. Olas Electric is eyeing a valuation of around $6 billion through this open offering. The proceeds from the IPO will be utilized by Ola Electric for various purposes, counting capital expenditure (capex) for growing the fabricating capacity of its auxiliary, OCT, from 5GWh to 6.4 GWh. Also, the company plans to distributeRs 800 crore for obligation reimbursement and RS 1,600 crore for enquire about and product advancement. The remaining stores will be utilized for nature development activities and common corporate purposes.
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Ola Electric, led by its founder and CEO Bhavish Aggarwal, has been making strides in the Indian EV market. The company right now holds a dominant 49% showcase share in the electric two-wheeler (2W) portion, thanks to the popularity of its $1 bike portfolio. However, the company has moreover been facing challenges, including work cuts, as its points to cut costs and boost profitability. The sebi approval for Ola Electric’s IPO comes at a pivotal time for the company, as it looks to capitalize on the developing request for EVs in india. The public listing will give Olas Electric with the essential reserves to extend its operations, contribute in investigate and improvement, and solidify its position as a driving player in the Indian EV market. The IPO is being managed by a consortium of prominent budgetary teach, counting Kotak Mahindra Capital, BOFA Securitiess, Hub Capital, SBI capital Markets, Citigroup, Goldman Sachs, and ICICI Securities, among others. With the sebi approval in put, Olas Electric is expected to launch its IPO in the counting months, checking a critical mie=lestone for the Indian EV industry.
