Ola Electric shares slide more than 5% as one-month lock-in period ends

Shares of recently listed Ola Electric Mobility, the electric two-wheeler manufacturer based in Bengaluru, slipped as much as 5.33% to ₹104.10 apiece on the BSE on Monday, September 9, as its one-month share lock-in period ended today.

This means that from today, around 18.18 crore shares, representing 4% of the company's outstanding shares, will become eligible for trading, as per reports.

On August 9, Ola Electric Mobility's shares made a flat debut on the bourses as the stock got listed at ₹76 on the National Stock Exchange (NSE), same as the issue price.

However, after the flat listing, shares of the company witnessed a huge rally. The stock hit a record high of ₹157.53 on August 20. 

The company's ₹6,145-crore initial public offering (IPO) was overall subscribed 4.27 times.

The initial share sale had a price band for the offer at ₹72 - ₹76 a share.

The IPO, the first by an electric vehicle maker, had a fresh issue of up to ₹5,500 crore and an offer-for-sale (OFS) of up to 8,49,41,997 equity shares.

"The company is also looking to use ₹1,600 crore from the fresh fund on research and product development; another ₹800 crore will be deployed to repay debts and ₹350 crore for organic growth initiatives," its prospectus added.

After its stock listing, Ola Electric Mobility in August reported a jump in revenue from operations in the April-June quarter of FY25 at ₹1,644 crore against ₹1,243 crore revenue recorded in the same quarter of the previous fiscal.

The June quarter has been a "good quarter" in terms of growth and profitability, Chairman and CEO Bhavish Aggarwal said in a post-earnings call.

Meanwhile, the group rebranded its ride-hailing service as Ola Consumer, announced a partnership with Open Network of Digital Commerce (ONDC) and launched automated warehousing solutions to cater to quick commerce requirements.

Aggarwal also said Ola's indigenously developed 'Bharat 4680' cell and battery pack will be integrated with its own vehicles starting in the first quarter of FY26.

"Coupled with the integration of our cells in our vehicles starting early next year, we are determined to chart a new course for mass EV adoption across India," Aggarwal added.