Ola Electric Plans Rs 1,500 Crore Fundraise as Sales Decline
- Ola Electric’s board approves Rs 1,500 crore fundraise through issue of securities.
- The company explores multiple funding routes including equity and convertible debentures.
- Comes as Ola faces declining EV sales and widening quarterly losses.
Ola Electric, the EV startup led by Bhavish Aggarwal, has received board approval to raise Rs 1,500 crore by issuing various securities. The company plans to explore multiple fundraising options including equity shares, convertible debentures, warrants, ADRs, and GDRs but has not yet revealed how it intends to use the capital.
The fundraising decision comes at a time when Ola Electric is struggling to maintain its market share in India’s electric two-wheeler segment. Competitors such as Ather Energy, TVS, and Bajaj Auto have seen stronger sales momentum. In September 2025, Ola Electric sold 12,223 scooters, a sharp drop from 24,752 units a year earlier.
In the first quarter of FY25, the company’s revenue fell 50% to Rs 828 crore, while its net loss widened to Rs 428 crore, compared with Rs 347 crore a year ago.
Despite these challenges, Ola Electric continues to diversify. It recently launched a new line of battery energy storage systems under the brand Ola Shakti. The products, powered by Ola’s indigenous 4680 Bharat cell, aim to expand beyond automotive use. Aggarwal said the initiative required “hardly any incremental investment”.
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Ola expects its gigafactory consumption for storage products to scale up to 5 GWh annually, surpassing its automotive needs in the coming years.
The company plans to first target B2C markets, with B2B offerings to follow later.
