• Source:JND
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Ola Electric Mobility Share Price: Shares of Bhavish Agarwal-led electric two-wheeler company Ola Electric Mobility Ltd gained 20% on Monday, crossing the upper circuit limit and extending the rally from the listing day. On BSE, it jumped 19.99% to hit the day's highest trading permissible limit of Rs 109.41. Meanwhile, on NSE, the Ola electric share price rose 20% to hit an upper circuit limit of Rs 109.44.

Shares of Ola Electric Mobility Ltd had gained 20% to hit the upper circuit limit on the listing day on Friday, against the issue price of Rs 76. Ola Electric Mobility's Rs 6,145-crore initial public offering received bids 4.27 times against the issue size on the last day of bidding on Tuesday.

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Ola Electric IPO details

The issue was open for subscription from August 2 to August 6. The initial share sale price band was Rs 72-76 per share. The electric vehicle maker's first-ever Initial Public Offering (IPO) had fresh issues of up to Rs 5,500 crore and offer-for-sale (OFS) of up to 8,49,41,997 equity shares.

According to its prospectus, Ola Electric Mobility Ltd (OEML) plans to utilize Rs 1,227.6 crore from the Rs 5,500-crore public issue to expand the capacity of its cell generation plant from 5 GWh to 6.4 GWh.

The company wants to utilize Rs 1,600 crore of the fresh funds for research and product development, as well as another Rs 800 crore for debt repayment and Rs 350 crore for organic growth initiatives.

In its red herring prospectus (RHP), OEML said Phases 1(a) and 1(b) of setting up and expansion of the Ola Gigafactory in Krishnagiri district of Tamil Nadu will be funded from internal accruals and long-term debt by its arm Ola Electric Mobility Pvt Ltd (OMPL).

A portion of the proceeds will be used for capital expenditures by OMPL to expand cell generation plant capacity from 5 GWh to 6.4 GWh, the company said. Ola manufactures electric EVs and some key EV components such as battery packs, motors, and vehicle frames at the Ola FutureFactory.

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(With PTI's Input)