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Shares of Ola Electric rose 4.6% after founder Bhavish Aggarwal sold 2.6 crore shares.
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Aggarwal's stake sale released Rs 260 crore promoter-level share pledges, making him debt-free.
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Promoter holding remains above 34%, with no expected further promoter pledges.
Shares of Ola Electric Mobility Ltd. on Wednesday rose by 4.6% at Rs 35.95 a piece.
The stock was keenly watched pre-market open following the bulk deal on Tuesday, where founder Bhavish Aggarwal sold over 2.6 crore shares, approximately 0.6% of the equity worth around Rs 92 crore.
Ola Electric's founder Bhavish Aggarwal has undertaken a limited monetisation of his personal shareholding to fully release all promoter-level share pledges totalling Rs 260 crore.
The pledge release transaction involved a combination of monetising a small part of the promoter holding as well as other personal incomes. It will completely release 3.93% of previously pledged shares, making the founder-promoter debt-free.
The promoter-group holding will be over 34% after the limited stake monetisation, among the largest in the listed new-age listed cohorts.
Ola Electric is not expected to see further promoter pledges as the current one was done to seed fund AI startup Krutrim, which has re-emerged as a cloud infra player with positive cash flows.
The monetisation does not result in any dilution of promoter control and reflects the founder's long-term commitment to Ola Electric's strategy of building a vertically integrated, India-led electric mobility and clean energy platform, sources added.
The move was executed at the promoter level and does not involve Ola Electric as a company. It's unlikely to have any impact on the company's electric mobility business, day-to-day operations, management, governance framework, financial position or long-term strategic plans.
Ola Share Price Today
Ola Share Price Today
Ola Share Price Today
The scrip rose as much to Rs 36.17 apiece on Thursday. It pared gains to trade 1.45% higher at Rs 34.98 apiece, as of 9:25 a.m. This compares to a 0.21% growth in the NSE Nifty 50 Index.
It has dropped 59.10% on a year-to-date basis, and dropped 64.04% in the last 12 months. The relative strength index was at 42.35.
Out of 8 analysts tracking the company, three maintain a 'buy' rating, one recommend a 'hold,' and four suggest 'sell,' according to Bloomberg data. The average 12-month consensus price target of Rs 45.88 implies a upside of 32.5%.
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