Ola Electric plans Rs 2,000 crore fundraise for battery arm Ola Electric has initiated a plan to raise up to Rs 2,000 crore by selling a stake in its battery division, Ola Cell Technologies (OCT). OCT operates a lithium-ion cell manufacturing plant in Tamil Nadu with an initial operational capacity of 1.5 GWh, aiming to expand to 6 GWh by the end of the current financial year. The fundraising process is being managed by investment banks Avendus and Motilal Oswal. The move aligns with Ola Electric’s broader strategy to restructure its operations and strengthen its financial position as it works toward a business turnaround. The stake sale is expected to influence the market valuation of OCT, a critical asset in India’s battery infrastructure. The unique nature of OCT’s assets has attracted interest from financial investors, including sovereign wealth funds. The company’s gigafactory, which required an upfront investment of Rs 3,500 crore, represents a major step in localizing battery cell production in India. This initiative is vital as the country seeks to reduce reliance on imported cells and build a domestic electric vehicle (EV) supply chain. The gigafactory will also support energy storage solutions beyond the two-wheeler market, catering to industries requiring storage for renewable energy. Ola’s Battery Innovation Centre, part of OCT, employs over 200 executives from global corporations and holds nearly 400 patents. Its research spans multiple cell chemistries, including NMC, LFP, LMFP, and LMR, as well as various form factors like cylindrical, prismatic, and solid-state cells. India’s push toward 50% renewable energy by 2030 highlights the need for efficient storage solutions to balance electricity generation and consumption.#tamil_nadu #motilal_oswal #ola_electric #ola_cell_technologies #avendus
Ola Electric to raise ₹2,000cr by selling minority stake Ola Electric is seeking to strengthen its financial position by securing ₹2,000 crore through the sale of a minority stake in its battery subsidiary, Ola Cell Technologies (OCT). This strategic move comes amid declining electric scooter sales and intensifying competition in the market. The fundraising initiative, led by financial advisors Avendus and Motilal Oswal, has already attracted interest from major investors, including sovereign wealth funds, due to OCT’s growing significance in the company’s operations. OCT operates India’s first gigafactory in Tamil Nadu, marking a critical step toward reducing the nation’s reliance on imported lithium-ion cells. The facility currently has an operational capacity of 1.5 GWh and is projected to expand to 6 GWh by the end of the current financial year, which concludes on March 31, 2026. This expansion aligns with India’s broader goals of advancing self-reliance in electric vehicle (EV) technology. Additionally, Ola’s Battery Innovation Center has developed nearly 400 patents and has started producing advanced Bharat Cells, underscoring the company’s commitment to leading local battery innovation. The decision to raise capital through a minority stake reflects Ola’s efforts to navigate challenges in the EV sector, where demand for electric scooters has slowed and competition has intensified. By leveraging OCT’s capabilities, Ola aims to solidify its position in the market while supporting India’s transition to sustainable transportation. The fundraising also highlights the growing importance of domestic battery manufacturing, as companies seek to minimize dependency on global supply chains and capitalize on the country’s push for green energy solutions.#tamil_nadu #motilal_oswal #ola_electric #ola_cell_technologies #avendus
Ola Electric to Raise Rs 2,000 Crore for Battery Arm Ola Cell Technologies Ola Electric, the electric two-wheeler maker, plans to raise up to Rs 2,000 crore by selling a minority stake in its battery arm, Ola Cell Technologies (OCT). The fundraising effort, which involves financial investors, comes as the company seeks to restructure operations, strengthen its balance sheet, and regain market share amid a decline in electric two-wheeler sales. The move is part of broader efforts to stabilize its business and position itself for long-term growth. Ola Cell Technologies, which operates India’s first gigafactory in Krishnagiri, Tamil Nadu, is central to the company’s strategy. The facility, with an initial investment of Rs 3,500 crore, has 1.5 GWh of operational capacity and aims to scale to 6 GWh by the end of the financial year. The gigafactory is a key step toward localizing battery cell manufacturing in India, reducing reliance on imports and supporting the development of a domestic electric vehicle (EV) supply chain. It also supports energy storage systems across industries beyond two-wheelers. The fundraising process is being managed by investment banks Avendus and Motilal Oswal. The stake sale is expected to determine the market valuation of OCT, a critical asset attracting interest from financial investors, including sovereign wealth funds. Ola Electric’s founder, Bhavish Aggarwal, has emphasized the company’s focus on battery innovation, stating that its vision is to integrate the entire energy storage supply chain. Ola’s restructuring efforts include layoffs of 5% of its workforce and a push for automation to build a "leaner organisation.#tamil_nadu #ola_electric #ola_cell_technologies #krishnagiri #avendus
