Ola Electric's board has approved a fund raise of up to ₹1,500 crore through various securities including equity shares, debentures, warrants, and depository receipts. The EV maker informed stock exchanges on Saturday, September 5, that the fundraising may be conducted via public offer, rights issue, QIP, private placement or other permitted routes, subject to shareholder and regulatory approvals. The board also approved an increase in the company's authorised share capital from ₹8,318.50 crore to ₹8,721.87 crore, raising the limit by around ₹403.37 crore. This follows the company's earlier announcement of considering a fresh fund raise at its board meeting scheduled for September 5, 2026. The proposed ₹1,500 crore follows the ₹780 crore Ola raised through a qualified institutional placement (QIP) three months ago, as reported by The Hindu BusinessLine. According to Business Standard, the funds would be raised through the issue of equity shares or securities that can be converted into or exchanged for equity shares.
Ola Electric shares surged nearly 4% in Friday's trading session following the announcement of its first cohort of network-partner stores going live across seven states. The stock rose 3.94% to hit an intraday high of ₹38.95 on the NSE, before settling 1.97% higher at ₹38.21 at the closing price. At the closing price, Ola Electric had a market capitalisation of ₹17,685.15 crore on the NSE. The positive market response reflects investor confidence in the company's strategic retail expansion and strong dealer interest in the product portfolio.
According to The Economic Times, Ola Electric has officially launched its first cohort of network-partner stores across seven states, marking a significant shift from its fully company-owned retail model. The dealer-operated outlets are now live in Rajasthan, Tamil Nadu, Maharashtra, Bihar, Telangana, Uttar Pradesh & Madhya Pradesh, serving local demand for Ola scooters and motorcycles in their respective markets. As reported by The Economic Times, the inauguration marks a structural shift in the company's retail strategy, with the transition to a partner-led distribution network enabling stronger local market penetration, improved accessibility, and faster customer response across geographies. The company stated that within a month of that announcement, the first partner stores are open and serving customers, demonstrating strong dealer interest in the product portfolio. The company is now shifting to a dealer-led network, supported by products such as the S1Z, priced from ₹79,999.
In a significant management development, Ola Electric announced that Chief Operations Officer Hyun Shik Park has stepped down from position citing personal reasons. The board noted his resignation with effect from closing business hours of September 5, 2026 due to personal reasons. This leadership change comes as the company continues its strategic expansion into dealer-partner networks and prepares for its major fundraising initiative.
Ola Electric reported a net loss of ₹336 crore in Q1 FY27, compared with a net loss of ₹426 crore in Q1 FY26, showing improved operational efficiency. However, revenue from operations declined 45.0% year-on-year to ₹455 crore in Q1 FY27 as against ₹828 crore in Q1 FY26. The company's shares are currently trading at ₹38.09 on the BSE, down 0.37% from previous levels. Despite the mixed financial results, the company continues its strategic expansion with the approved fund raise and successful retail network launch across seven states.
