Ola Electric IPO: A New Era for India’s Electric Vehicle Market

Investors worldwide, including those in India, have a keen interest in exciting themes such as electric vehicles (EVs). You and I might not be an exception to this trend.

Ola Electric, a popular two-wheeler electric vehicle company, has received approval from the Market Regulator, the Securities and Exchange Board of India (SEBI), to raise ₹7,250 crore through an Initial Public Offering (IPO). 

This means another IPO is about to be launched in the market, which might generate enthusiasm among retail investors. 

Let’s delve into the details about Ola Electric in this blog.

Ola Electric filed a Draft Red Herring Prospectus (DRHP) with SEBI for the IPO on December 22, 2023.

Founded: 2017

Founder: Bhavish Aggarwal 

Headquarters: Bengaluru, Karnataka, India

IPO Structure

Ola Electric's upcoming IPO will have the following structure -

IPO Structure

The OFS will see existing shareholders sell their shares, including:

  • Founder Bhavish Aggarwal selling 47.3 million shares.
  • AlphaWave, Alpine, DIG Investment, and Matrix collectively selling 47.89 million shares.

Ola Electric Plans to Utilize IPO Funds

As per the DRHP, the proceeds from the fresh issue will be allocated for various purposes:

  • ₹1,226.4 crore for Ola Cell Technologies’ Gigafactory project.
  • ₹1,600 crore for research and development (R&D) investments.
  • ₹350 crore for organic growth initiatives and general corporate purposes.
  • ₹800 crore to repay/pre-pay debts of Ola Electric Technologies (OET).

Market Share

According to government data from April 2024, Ola Electric is currently dominating the EV two-wheeler market with approximately 52% market share. The company sold 34,000 electric vehicles in April, which is a 54% increase compared to the same month last year.

Ola Electric Financial Highlights

Despite experiencing robust growth, Ola Electric carries a negative cash flow due to ongoing expansions and investments in product development. 

Below is a Detailed Financial Overview of the company :

Ola Electric Financial Highlights

Peer Companies:

Ather Energy, Bajaj Chetak, TVS, and Vida are some of Ola’s competitors in India’s EV market.

Ola Electric IPO Strengths & Weakness:

Ola Electric IPO Strengths & Weakness:

Investing in Ola Electric’s IPO offers a stake in both a leading EV company and the future of sustainable urban mobility.


Ola Electric Secures Rs 3,200 Crore from Temasek-led marquee investors and project debt from State Bank of India.

Bhavish Aggarwal, He is the co-founder and CEO of Ola Cabs, founder of Ola Electric, and the creator of OlaKrutrim, India’s first AI unicorn valued at $1 billion.

Ather Energy, Bajaj Chetak, TVS, and Vida are some of Ola’s competitors in India’s EV market.

Arunava Chatterjee
Founder of INVESMATE. I am a Certified Research Analyst, Value & Growth Investor, Trainer and Tech Entrepreneur. With 15 years of capital market experience, I have trained 10000+ students on INVESMATE. I have created several YouTube videos, mostly related to in-depth fundamental analysis.


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