Ola Electric Share Price Highlights: Stock hits 20% upper circuit after flat D-street debut; check details

• Traded volume (Lakhs):
• Traded value: ₹4,417.8 crore
• Total m-cap: ₹40,226.7 crore

• Current price: ₹91.2 (+20%)
• Open: ₹76
• High: ₹91.2
• Low: ₹76
• Total m-cap: ₹40,226.77 crore

• Current price: ₹90.7 (+19.4%)
• Open: ₹76
• High: ₹90.8
• Low: ₹76

• Current price: ₹86.6 (+14%)
• Open: ₹76
• High: ₹87
• Low: ₹76

For Ola Electric, the initial share sale will provide the impetus to invest in expanding cell manufacturing capacity and research and development (R&D) on future technologies and products.

Ola Electric Mobility Ltd (OEML) plans to use ₹1,227.6 crore on capacity expansion of its cell manufacturing plant. The company will utilise ₹1,600 crore on R&D, ₹800 crore will be deployed to repay debts and ₹350 crore for organic growth initiatives.

In its IPO documents, OEML said the Phase 1 (a) and Phase 1 (b) of the set up and expansion of the Ola Gigafactory at Krishnagiri district in Tamil Nadu will be funded from internal accruals and long-term borrowings availed by its arm Ola Cell Technologies Pvt Ltd (OCT).

The company said a part of the proceeds will be used for capital expenditure to be incurred by OCT for expansion of the capacity of cell manufacturing plant from 5 GWh to 6.4 GW

The qualified institutional buyers (QIBs) category fetched 5.31 times the subscription while the quota for retail investors garnered 3.92 times the subscription. The part reserved for non-institutional investors (NIIs) got 2.40 times subscription.

The IPO was a fresh issue of shares worth ₹5,500 crore and an offer for sale (OFS) of 8.49 crore equity shares. The price band was fixed at ₹72-76 per share.

Under the OFS, Ola Electric founder and CEO Bhavish Aggarwal is divesting around 3.8 crore shares.

Prior to the IPO, the company had raised ₹2,763 crore in the anchor round from investors including SBI Mutual Fund (MF), Nippon India MF, HDFC MF, Bharti Axa Life Insurance Company, Nomura India Investment Fund, Kotak Mahindra Life Insurance Company, Goldman Sachs (Singapore) Pte Ltd, and Fidelity.