Ola Electric Mobility Limited has successfully concluded its Qualified Institutional Placement (QIP), raising approximately Rs 780 crore through the allotment of 21.8 crore equity shares to institutional investors.
According to an exchange filing, the company allotted 21.8 crore shares at an issue price of Rs 35.86 per share. The issue price represents a 5% discount to the QIP floor price of Rs 37.74 per share, in line with regulatory provisions that allow companies to offer a limited discount to institutional investors.
Mirae Asset received the highest allocation of 15.38% through multiple allocations followed by Motilal Oswal which received 9.61%. JM Financial Mutual Fund also received 5.13% stake through different schemes.
The QIP, which closed on Thursday, was launched earlier this week as part of the company's efforts to strengthen its balance sheet and fund future growth initiatives. A QIP is a mechanism through which listed companies raise capital by issuing shares exclusively to Qualified Institutional Buyers (QIBs), including mutual funds, insurance companies, banks, and foreign institutional investors.
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The final fundraise exceeded the company's initial plan. Ola Electric had announced the launch of the QIP on June 1 with an objective to raise around Rs 500 crore. However, strong investor participation enabled the company to mobilise approximately Rs 780 crore.
The capital infusion comes at a crucial time for the electric vehicle maker, which has been focusing on improving profitability, expanding manufacturing capabilities, and strengthening its market position in India's rapidly growing EV sector.
Ola Electric Q4 Result
In its fourth-quarter FY26 results, Ola Electric reported a significant improvement in financial performance. The company's net loss narrowed to Rs 500 crore from Rs 870 crore in the corresponding quarter of the previous year. Ebitda loss also reduced sharply to Rs 281 crore from Rs 695 crore a year earlier.
However, revenue from operations declined 56% year-on-year to Rs 265 crore during the quarter, compared with Rs 611 crore in the same period last year.
A key highlight of the quarter was the company's first operating cash flow-positive performance. Ola Electric reported consolidated cash flow from operations of Rs 91 crore, supported by Production Linked Incentive (PLI) inflows, improved gross margins, lower operating expenses, and tighter working capital management. Consolidated free cash flow stood at Rs 131 crore.
Looking ahead, the company plans to ramp up commercial manufacturing capacity to 6 GWh during FY27. Management has guided for revenue in the range of Rs 500 crore to Rs 550 crore in the first quarter of FY27 and expects order volumes between 40,000 and 45,000 units during the period.
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