Ola Electric is back in the market for more capital. The electric two-wheeler maker’s board has approved a plan to raise up to Rs 1,500 crore through equity shares or convertible securities, barely three months after its last big round.
The proposal, cleared on September 5, can be executed through a further public offer, rights issue, QIP, private placement or other permitted routes. It is subject to shareholder and regulatory approvals. The company has also sought approval to raise its authorised share capital from Rs 8,318.5 crore to Rs 8,721.9 crore.
COO Hyun Shik Park resigns
On the same day, Ola Electric’s chief operating officer Hyun Shik Park resigned, effective from the closing business hours of September 5. The company said Park stepped down from his role as Senior Management Personnel due to personal reasons.
Read More: A91 Invests Rs 143 Cr In Atomberg, Sells Rs 445 Cr Stake While Retaining 21%
The exit comes just three months after Ola raised Rs 780 crore through a QIP in June, when it allotted around 21.76 crore shares at Rs 35.86 apiece to qualified institutional buyers.
Read More: Atomberg Gets Board Nod To Raise Over Rs 450 Cr Via IPO
Fundraise at a difficult time
The fresh capital push arrives when the EV maker is under pressure on multiple fronts. In Q1 FY27, Ola Electric’s revenue from operations fell 45% year-on-year to Rs 455 crore. Its net loss narrowed to Rs 336 crore from Rs 428 crore a year earlier.
Market share has been shrinking too. The company recorded 13,170 vehicle registrations in July, giving it a 6.8% market share, amid rising competition and a stream of customer complaints.
Battery push continues
Despite the challenges, Ola Electric has been scaling up its battery-cell manufacturing operations. It recently secured Rs 95.81 crore under the government’s PLI-Auto scheme for FY27.
The company is betting on vertical integration and local cell production to cut costs and improve margins over time. The fresh fundraise, if cleared, will give it more room to fund those plans while it works to defend its position in a crowded two-wheeler market.