Ola Electric, a manufacturer of electric vehicles (EVs), is said to have agreed to raise $140 in a funding round headed by Singapore’s Temasek sovereign wealth fund with participation from other current investors.
The agreement was signed on Monday, September 4, according to Sources told Livemint, and the money would be credited to the EV major’s account in four to five days. According to the article, Temasek will spend $90 million, with the remaining $50 million coming from additional investors, mostly family offices.
Bhavish Aggarwal founded Ola Electric in 2017, and it is situated in Bengaluru, Karnataka, India. The business was founded to lower fuel dependency and emissions. Ola Electric is allegedly valued between $5.4 and $5.5 billion as a result of the financing. In January 2022, the business completed its most recent funding round, raising over $200 million from a number of investors at a valuation of $5 billion.
According to a source, the EV manufacturer will probably acquire additional funds before the public markets open. This news comes days after it was reported that Ola Electric was seeking to fund $350 Mn in a financing backed by Temasek ahead of its initial public offering (IPO). The additional funding will give the business more clout as it gathers more investors in preparation for its prospective offering early the next year. The money might potentially be used to increase production of the company’s recently announced extensive lineup of electric bikes, scooters, and possibly an electric automobile.
The company has not yet released its FY23 financial figures, but if sources are to be believed, it missed its fiscal year goals by making a loss of INR 1,116 Cr ($136 Mn) on revenue of INR 2,750 Cr ($335 Mn) as reported by inc42.com.
Top-level executives have been departing in droves as a result of a leadership shake-up, and the EV manufacturer’s escooters have been engaged in fires. However, Ola Electric appears to be in a good position to seize the growing momentum of the Indian EV market, which has been expanding rapidly recently due to increased public acceptance and government incentives.
About Ola Electric
The future of mobility is now with Ola Electric. Accelerating the transition of the world to sustainable mobility. The planet needs mobility. Future-proofing through sustainability. Their goal with Ola Electric is to make India the world’s major hub for electrification in order to minimize global emissions and our reliance on fossil fuels. To make this a reality, They want to build a mindset shift in every Indian that fuels the mission of Mission Electric, in addition to producing electric automobiles.