Ola Electric board approves Rs 1,500 crore fundraise plan

Electric vehicle maker ola Electric has received board approval to raise ₹1,500 crore by issuing securities.

In a filing late Saturday, the company said it is exploring multiple fundraising options, including equity shares, convertible debentures, warrants, ADRs (American Depository Receipts), and GDRs (Global Depository Receipts). However, it did not specify how the funds will be used.

New launch under ‘Ola Shakti’

Recently, Ola Electric introduced a new line of Battery Energy Storage Systems (BESS) under the ‘Ola Shakti’ brand, built on its in-house 4680 Bharat Cell produced at its Gigafactory.

Founder Bhavish Aggarwal said the project requires very little additional investment. The company expects strong demand for these battery solutions in the coming years, estimating the Gigafactory’s annual output to reach 5 GWh, potentially surpassing its automotive business.
Initially, the products will focus on B2C (business-to-consumer) customers, with B2B (business-to-business) solutions to follow later.

Read Also- Deeptech startup HYDGEN raises $5Mn funding in round

Declining sales and rising losses

Ola Electric is facing challenges maintaining its lead in the electric two-wheeler segment as rivals ather energy, TVS, and Bajaj Auto report strong sales.

In September 2025, Ola sold 12,223 units, down from 24,752 units a year earlier.
Revenue in Q1 FY25 fell by 50% to ₹828 crore, while net losses widened to ₹428 crore from ₹347 crore last year.

Can new funding help?

Experts believe the new funding could strengthen Ola Electric financially and support the company’s battery technology, Gigafactory expansion and energy storage initiatives.

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However, with declining sales and growing losses, it remains to be seen how effectively the company uses this investment to regain its position in the EV market.

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