Ola Electric to invest Rs 1,226-cr IPO proceeds on mfg expansion

Ola Electric, which had filed the draft red herring prospectus (DRHP) last week, is also looking to use Rs1,600 crore from the public fund raising on research and product development

New Delhi: IPO-bound Ola Electric Mobility Ltd., plans to utilise Rs1,226.43 crore out of the proceeds of its Rs5,500 crore public issue on capacity expansion of its cell manufacturing plant to 6.4 GWh from 5 GWh, according to preliminary papers filed by the company with capital markets regulator Sebi.

The company, which had filed the draft red herring prospectus (DRHP) last week is also looking to use Rs1,600 crore from the public fund raising on research and product development, while another Rs800 crore will be deployed to repay debt.

Ola Electric Mobility (OEM) which had on August 15, 2023 announced a line-up of electric motorcycles -- Cruiser, Adventure, Roadster and Diamondhead -- expects to begin delivery of the motorcycles in the first half of fiscal 2026.