The proposed fundraise, which will be subject to regulatory and statutory approvals, comes weeks after the company’s board okayed plans to raise up to Rs 1,500 crore through equity shares and other securities.
“The rights issue route is being considered to enable participation by all eligible shareholders including retail, institutional, and promoter group, subject to applicable laws,” the company said in a statement.
The latest capital raise comes just three months after Ola Electric raised Rs 780 crore through a QIP (qualified institutional placement) in June. The company had initially planned to raise Rs 500 crore through the issue.
Earlier this month, Ola Electric’s chief operations officer, Hyun Shik Park, resigned from the company citing personal reasons.
Ola Electric has been under pressure as rivals like TVS Motor, Bajaj Auto, and Ather Energy have gained market share. The company has slipped to fifth position in monthly vehicle registrations.
Ola Electric has been working to revive sales and improve its financial performance. Revenue from operations in 2026 fell 50% on-year to Rs 2,253 crore from Rs 4,514 crore in FY25. The company’s consolidated net loss narrowed 19.5% to Rs 1,833 crore from Rs 2,276 crore in FY25.
In Q1 FY27, the company reported operating revenues of Rs 455 crore, down from Rs 828 crore a year earlier, as vehicle registrations declined to 43,062 units in that period from 54,676 units a year earlier, per Vahan data. It also narrowed its net losses to Rs 336 crore, from Rs 428 crore a year prior.
In August, Ola sold 13,849 electric two-wheelers, and had 7.7% market share, sharply lower than 17.7% in August 2025.