'Not aware': Ola Electric clarifies on 'closure' of 100 showrooms in Maharashtra; stock tumbles 5%

Ola Electric Mobility Ltd on Friday issued a clarification over a news report titled "Ola Electric shares in focus after Maharashtra moves to shut unlicensed stores, seize vehicles".

"We wish to submit that we are not aware of any such negotiations/events regarding a notice from the authorities ordering immediate closure of over 100 showrooms in Maharashtra," the pure-play electric vehicle (EV) firm stated in an exchange filing.

"Additionally, we have already informed the exchange, via our intimation dated March 21, 2025, regarding the receipt of notices in four states pertaining to trade certificates for certain stores located in those states," the Bhavish Aggarwal-led company also said.

The company response came after bourses BSE and NSE sought clarification from Ola regarding the unlicensed store closure. The Maharashtra Transport Department has reportedly ordered the shutdown of more than 100 Ola Electric stores in the state for operating without mandatory trade certificates.

Stock-wise, Ola Electric plunged 5.48 per cent to hit a low of Rs 49.55. It was last seen trading 4.71 per cent up at Rs 49.95. At this price, the scrip has crashed 42.07 per cent on a year-to-date (YTD) basis.

Technically, the scrip traded lower than the 5-day, 10-, 20-, 30-, 50-, 100-day and 150-day simple moving averages (SMAs). Its 14-day relative strength index (RSI) came at 59.50. A level below 30 is defined as oversold while a value above 70 is considered overbought.

Around 34.06 lakh shares changed hands on BSE at the time of writing this story, lower than the two-week average volume of 42.30 lakh shares. Turnover on the counter came at Rs 17.26 crore, commanding a market capitalisation (m-cap) of Rs 21,987.99 crore. There were 8.48 lakh sell orders against buy orders of 4.36 lakh shares.

Founded in 2017, Ola Electric primarily manufactures EVs and certain core components such as battery packs, motors and vehicle frames at the Ola Futurefactory. As of March 2025, promoters held a 36.78 per cent stake in the electric two-wheeler (E2W) player.