Ola Electric’s board of directors will consider a private placement, qualified institution placement, preferential issue, other eligible methods, or a combination thereof, the filing read. The board decision will be subject to regulatory and shareholders’ approval, it added.
Early in October, Ola Electric Technologies (OET), a wholly owned subsidiary of Ola Electric, secured approval from its board and shareholders to raise up to Rs 877.6 crore by issuing 87.76 crore preferential shares to fellow subsidiary Ola Cell Technologies (OCT) to strengthen its financial position and operational flexibility across subsidiaries.
OET is Ola Electric’s manufacturing and technology arm, building everything from vehicle platforms to battery technology. OCT focuses on indigenous cell R&D and large-scale manufacturing, supporting vertical integration and reducing dependence on imported cells, which helps shield it from geopolitical risk.
In May earlier this year, Ola Electric received the board’s approval to raise Rs 1,700 crore through debt instruments, including loans, working capital facilities, or the issuance of non-convertible debentures (NCDs) and other eligible securities.
Ola Electric had raised Rs 5,500 crore in its IPO in August 2024. Of this, Rs 1,228 crore was earmarked for OCT to expand its cell manufacturing capacity from 5 to 6.4 GWh, according to the IPO prospectus.
The latest fundraising plan comes as Ola Electric looks to enter battery energy storage system (BESS) with its first non-vehicle offering, Shakti. The modular battery solution was launched on October 16, with availability scheduled from January 2026. Ola Electric will build the battery using its in-house 4680 Bharat Cells at its Gigafactory in Tamil Nadu.
The EV maker is also facing rising competition and financial turbulence. Its market share in the electric two-wheeler space dropped to 13.2% in September with 11,780 scooters sold, down from 18.7% in August, when it sold 19,020.