Ola Electric Share: Ola Electric’s highly anticipated IPO has created waves in the stock market, with the share price surging by 20% on its very first day of trading. Despite a flat start, the stock hit the upper circuit, signaling strong investor interest in the electric vehicle (EV) company. Here’s a detailed look at the highlights of Ola Electric’s stock market debut.
Ola Electric Share Price Highlights
- Ola Electric Shares Hit 20% Upper Circuit
On Friday, shares of Ola Electric Mobility Limited soared by 20%, hitting the upper circuit limit and closing at ₹91.2. This significant jump came after the stock initially listed at par with its issue price of ₹76. - Bhavish Aggarwal Enters Billionaire Club
The surge in Ola Electric’s share price has catapulted founder Bhavish Aggarwal into the billionaire club. Holding 1,36,18,75,240 shares pre-listing, Aggarwal’s stake is now valued at ₹12,420 crore (over $1.5 billion), marking a major milestone in his entrepreneurial journey. - Trading Stats Throughout the Day
- 3:35 pm: Shares reached ₹91.2, up 20%, with a total market capitalization of ₹40,226.7 crore.
- 2:58 pm: The traded volume was in lakhs, with a total traded value of ₹4,417.8 crore.
- 1:35 pm: The stock maintained its upper circuit level, with a high of ₹91.2 and a low of ₹76.
- 11:35 am: Ola Electric’s share price hovered at ₹90.7, up 19.4% from its opening price.
- 10:08 am: After a flat debut, the shares rose 6.1% to trade at ₹80.6.
Ola Electric’s IPO Journey
Ola Electric’s IPO was a resounding success, with the offer being subscribed 4.27 times during the three-day bidding window from August 2 to August 6. The IPO included 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 set at ₹72-76 per share.
Utilization of IPO Funds
The proceeds from the IPO will be used for multiple strategic initiatives:
- Expansion of Cell Manufacturing Capacity: ₹1,227.6 crore will be allocated to expand the capacity of Ola’s cell manufacturing plant.
- Research and Development: ₹1,600 crore will be invested in R&D to advance future technologies and products.
- Debt Repayment and Growth Initiatives: ₹800 crore will be used to repay existing debts, while ₹350 crore will be directed towards organic growth initiatives.
Key Investors in Ola Electric
Before the IPO, Ola Electric raised ₹2,763 crore in an anchor round, attracting investments from prominent entities such as SBI Mutual Fund, HDFC Mutual Fund, Bharti Axa Life Insurance Company, and Fidelity, among others.
What’s Next for Ola Electric?
With the successful listing, Ola Electric is well-positioned to accelerate its growth plans, including the setup and expansion of its Gigafactory in Tamil Nadu. The company aims to leverage its IPO funds to strengthen its position in the EV market and continue innovating in sustainable transportation.
