Ola Elec raises ₹3.2K crore for cell factory, EVs
₹3,200 crore through an equity fundraise led by existing investor Temasek and project debt from State Bank of India (SBI) to build a cell manufacturing factory and expand its electric two-wheeler business. Ola Electric has introduced new products in its electric scooter line-up, with the latest S1X starting from ₹89,999 ex-showroom for the 2kWh battery variant. Mint was the first to report on 6 September that Ola Electric Mobility has signed an agreement to raise $140 million from existing investors including Temasek Holdings, at a valuation of $5.4 billion, lower than the $7-8 billion that Ola was seeking.
Singapore state investor Temasek is pumping in around $90 million. Others—mostly family offices—will contribute the remaining sum. Ola Electric’s last round valued it at around $5 billion.
In January 2022, Ola Electric raised around $200 million from Tekne Private Ventures, Alpine Opportunity Fund and Edelweiss. This round gives Ola Electric an additional buffer and a greater runway before its proposed initial public offering (IPO). Ola Electric, a recipient of the government’s production-linked incentive for Advanced Chemistry Cells (ACC PLI) is setting up a lithium-ion cell manufacturing facility in India with an initial capacity of 5 GWh in phase-1 which will be further scaled up in phases to 100 GWh at full capacity, Ola Electric said.
Ola Electric has appointed several investment banks and is preparing for an IPO in early 2024, Mint reported on 25 May. Ola Electric leads the domestic electric two-wheeler market with its S1 and S1 Pro scooters. In September, it had a nearly 29% share of e-scooters sold in India, according to the government’s VAHAN dashboard.
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