Ola Electric Shares Rebound From Tuesday's Slump Following Bhavish Aggarwal's Stake Sale
Bhavish Aggarwal sold over 2.6 crore shares, approximately 0.6% of the equity worth around Rs 92 crore.
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
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%.
