<p>Bengaluru: Ola Electric Mobility Ltd is set to raise a total of Rs 6,100 crore through its initial public offering (IPO), which will open on August 2, the proceeds from which will be used for expansion of their Gigafactory, loan repayments, and investments into research and development (R&D), the Bengaluru-based company said on Monday.</p>.<p>The IPO will consists of a fresh issue of equity shares aggregating up to Rs 5,500 crore and an offer for sale (OFS) of equity shares worth Rs 645.6 crore by the promoters. Following the market debut, co-founder and Chief Executive Officer Bhavish Aggarwal will offload Rs 288.15 crore worth of shares, diluting 37 per cent, of his stake in the company.</p>.<p>“Our mission is to make India a global electric vehicle hub,” said Bhavish Aggarwal during the press conference. </p>.Ola Electric fixes IPO price band at Rs 72-76; looks to start operations at gigafactory early 2025.<p>Out of the expected proceeds, Rs 1,227 crore will be used for the expansion of the Ola Gigafactory capacity, Rs 800 crore for loan repayment, Rs 1,600 crore for R&D, and Rs 350 crore for organic growth initiatives.</p>.<p>Of the total proposed capex on Gigafactory, the company is planning to spend Rs 859.3 crore in the current fiscal year and Rs 368.34 crore in FY26. It is aiming to expand the Gigafactory to 6.4 GWh capacity by the end of this fiscal.</p>.<p>According to Reuters, the company's IPO has drawn investor interest from the likes of Fidelity and Nomura.</p>.<p>Ola Electric has sold around 3,29,618 e-scooters in the last fiscal year, up from 1,56,251 units sold in FY23, and held a market share of 37 per cent in FY24. Revenue from operations rose to Rs 5,009.8 crore, up from Rs 2,630.9 crore. However, total losses expanded to Rs 1,584.4 crore, up from Rs 1472.1 crore in FY23.</p>.<p>Aggarwal said losses would come down once the battery cells manufactured by his company start powering his vehicles from FY26 onwards. Currently, according to him, battery cells account for 30% of the total cost of vehicles.</p>.<p>Harish Abichandani, Chief Financial Officer, said that the company invested Rs 500 crore so far on cell manufacturing and borrowed Rs 1,900 crore term loan for the same. He also expected margins to improve once their battery cells start to power EVs.</p>.<p>The upcoming IPO also includes a reservation for eligible employees with maximum bid amount not exceeding Rs 5 lakh. The company has set the floor and cap prices at Rs 72 to Rs 76 per equity share.</p>
<p>Bengaluru: Ola Electric Mobility Ltd is set to raise a total of Rs 6,100 crore through its initial public offering (IPO), which will open on August 2, the proceeds from which will be used for expansion of their Gigafactory, loan repayments, and investments into research and development (R&D), the Bengaluru-based company said on Monday.</p>.<p>The IPO will consists of a fresh issue of equity shares aggregating up to Rs 5,500 crore and an offer for sale (OFS) of equity shares worth Rs 645.6 crore by the promoters. Following the market debut, co-founder and Chief Executive Officer Bhavish Aggarwal will offload Rs 288.15 crore worth of shares, diluting 37 per cent, of his stake in the company.</p>.<p>“Our mission is to make India a global electric vehicle hub,” said Bhavish Aggarwal during the press conference. </p>.Ola Electric fixes IPO price band at Rs 72-76; looks to start operations at gigafactory early 2025.<p>Out of the expected proceeds, Rs 1,227 crore will be used for the expansion of the Ola Gigafactory capacity, Rs 800 crore for loan repayment, Rs 1,600 crore for R&D, and Rs 350 crore for organic growth initiatives.</p>.<p>Of the total proposed capex on Gigafactory, the company is planning to spend Rs 859.3 crore in the current fiscal year and Rs 368.34 crore in FY26. It is aiming to expand the Gigafactory to 6.4 GWh capacity by the end of this fiscal.</p>.<p>According to Reuters, the company's IPO has drawn investor interest from the likes of Fidelity and Nomura.</p>.<p>Ola Electric has sold around 3,29,618 e-scooters in the last fiscal year, up from 1,56,251 units sold in FY23, and held a market share of 37 per cent in FY24. Revenue from operations rose to Rs 5,009.8 crore, up from Rs 2,630.9 crore. However, total losses expanded to Rs 1,584.4 crore, up from Rs 1472.1 crore in FY23.</p>.<p>Aggarwal said losses would come down once the battery cells manufactured by his company start powering his vehicles from FY26 onwards. Currently, according to him, battery cells account for 30% of the total cost of vehicles.</p>.<p>Harish Abichandani, Chief Financial Officer, said that the company invested Rs 500 crore so far on cell manufacturing and borrowed Rs 1,900 crore term loan for the same. He also expected margins to improve once their battery cells start to power EVs.</p>.<p>The upcoming IPO also includes a reservation for eligible employees with maximum bid amount not exceeding Rs 5 lakh. The company has set the floor and cap prices at Rs 72 to Rs 76 per equity share.</p>