Mumbai: Ola Electric intends to submit regulatory documents for its IPO, which could raise up to $700 million, by the end of October, Reuters reported.
The e-scooter manufacturer from India, backed by investors such as Temasek from Singapore and SoftBank from Japan, recently achieved a valuation of $5.4 billion in a recent fundraising round.
In an email sent on Sunday to its external advisers involved in the IPO process, including the investment banking units of Kotak and ICICI in India, as well as international banks like Bank of America and Goldman Sachs, an executive from Ola Electric emphasized the need for expediting the process within a five-week timeframe, the report said citing sources, who wished not to be named.
The report said Ola Electric and Kotak did not provide a response to the request for comment, while the other three banks opted not to comment.
Ola's upcoming IPO initiative is referred to internally as "Project Himalaya". In a memo addressed to bankers and lawyers, they were urged not to schedule any extended leaves to ensure their availability, as per the sources.
Once the IPO papers are filed, they will be reviewed by India’s markets regulator who can also send queries, indicating any possible listing is still some months away, stated the report
Ola Electric is targeting IPO roadshows for early January or February, said one of the sources, it said.
The company, India’s market leader in e-scooters with a 30% share, was founded by Bhavish Aggarwal and has seen its popularity surge as the country promotes the use of electric cars and scooters.
He has said his affordable e-scooters, which start retailing at $1,080, are for the masses, and in an interview this year said "Tesla is for the West, Ola is for the rest."
Ola Electric, though, still makes losses. It recorded an operating loss of $136 million on revenue of $335 million in the fiscal year ending March 2023, Reuters has reported.
Founded by Bhavish Aggarwal, Ola Electric holds a significant market share of 30% in India's e-scooter sector. The company's popularity has surged in line with India's push for electric vehicle adoption.
Aggarwal stressed that his affordable e-scooters, with a starting price of $1,080, are designed for the masses, stating in an interview that "Tesla is for the West, Ola is for the rest."
However, Ola Electric continues to operate at a loss. In the fiscal year ending March 2023, the company reported an operating loss of $136 million, despite generating revenue of $335 million, as per reports from Reuters.
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