Ola Electric to Inject $240 Million into Electric Vehicle and Battery Subsidiaries
Ola Electric Doubles Down on Electric Vehicle and Cell Manufacturing Businesses
Ola Electric, the e-mobility firm led by Bhavish Aggarwal, has announced a significant investment in its wholly owned subsidiaries, Ola Electric Technologies (OET) and Ola Cell Technologies (OCT). According to a stock exchange filing on May 15, the company will infuse Rs 2,000 crore into OET and OCT, with the aim of supporting the business requirements of both subsidiaries.
The investment will be made through compulsory convertible preference shares issued at par, with Rs 1,500 crore allocated to OET and Rs 500 crore to OCT. OET, which manufactures and supplies electric vehicles and related services, reported a turnover of Rs 4,717.48 crore in FY25. In contrast, OCT, focused on battery and cell operations, posted revenue of Rs 73 crore during the same period.
| Entity | FY25 Turnover |
|---|---|
| Ola Electric Technologies (OET) | Rs 4,717.48 crore |
| Ola Cell Technologies (OCT) | Rs 73 crore |
The investment is expected to be completed on or before May 14, 2027, and both entities will continue to remain wholly owned subsidiaries of Ola Electric after the transaction. OCT was incorporated in July 2022 and focuses on battery and cell manufacturing, while OET, incorporated in January 2021, operates across the electric vehicle value chain.
Investor Takeaway
Ola Electric's investment in its electric vehicle and battery subsidiaries may have a positive impact on the company's growth and market presence.
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