Ola Electric to Raise ₹1,700 Crore via Private Debt Placement

Ola Electric Mobility has received board approval to raise up to ₹1,700 crore through debt instruments. The decision was disclosed in a stock exchange filing on May 22, 2025. The company plans to mobilise funds through 1 or more tranches using non-convertible debentures (NCDs), term loans, or other permitted securities. The fundraising will take place through private placement or any other method allowed by law.

First Debt Issue Since IPO

This is the company's first major fundraising initiative since its IPO in August 2023. The company has not shared details on how the funds will be used, but the filing mentions that the objective is to strengthen its financial position.

Financial Performance 

For the October-December 2024 quarter, Ola Electric posted a net loss of ₹564 crore. Revenue during the same period stood at ₹1,045 crore. Compared to the year-ago period, the loss widened by 50%, and revenue fell by 19%. Financial results for the final quarter of FY25 have not yet been reported.

Market Performance 

As of 11:20 AM on May 23, 2025, Ola Electric Mobility share price was trading at ₹51.69, a 0.43% increase, with a 26.04% decline over the past 6 months and a 43.57% drop over the past year.  In April 2025, the company registered 19,709 electric 2-wheelers, a 42% drop year-on-year. This brought its market share down to 21.46%, with TVS Motor overtaking it in monthly sales.

Regulatory Scrutiny

The company has also faced regulatory questions over data discrepancies. In February, Ola reported sales of 25,000 units while government data from the Vahan portal showed 8,652 registrations. Ola attributed the gap to a temporary backlog caused by renegotiations with registration partners. 

Read more: Ola Electric Clarifies IP Usage Amid Reports of Brand Rights Transfer

Conclusion

Ola Electric plans to raise ₹1,700 crore through debt to support its financial needs. Details on the fund utilisation are currently undisclosed.

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