Ola Electric hits upper circuit as Aggarwal completes stake sale; rebounds 12% from lows

Ola Electric shares: Electric vehicle manufacturer Ola Electric Mobility saw a strong buying interest, hitting an upper circuit, on Friday as the beleaguered two-wheeler maker said the selling pressure from its promoter and CEO Bhavish Aggarwal has completed to remove all promoter pledges.

Shares of Ola Electric Mobility were seen at Rs 34.40 on Friday, rising 10 per cent over its previous close at Rs 31.28. The total market capitalization of the company topped Rs 15,000 crore mark. The stock has rebounded 11.8 per cent from its all-time low at Rs 30.79 on Thursday.

Ola Electric confirms that the promoter has completed the one-time, limited monetisation of a small portion of his personal shareholding. The transaction was undertaken solely to repay a promoter-level loan of approximately Rs 260 crore fully and to release all 3.93% shares previously pledged, thereby eliminating all promoter pledges, said the company in exchange filing.

"Following the transaction, the promoter group continues to hold 34.6% in Ola Electric, with no dilution of promoter control or change in long-term commitment. This was a planned, time-bound exercise executed entirely at the promoter’s personal level and has no impact on the company’s performance, operations, or strategic direction," it added.

In the last three trading sessions, Bhavish Aggarwal cumulatively sold 9.62 crore equity shares of Ola Electric Mobility worth Rs 324.27 crore. The average selling price of these shares is seen around Rs 33.65 apeice. The stock had tumbled more than 17 per cent in the three sessions of selling, before making today's rebound.

To recall, Ola Electric shares have crashed more than 78 per cent from its all time high at Rs 157.4, hit in August 2024, after the stock was listed. The company sold its shares of Rs 76 in the IPO and the stock is down 55 per cent from its IPO price. The stock has tumbled 66 per cent from 52-week high at Rs 99.90.

Ola Electric has remained under pressure as investors reassess near-term growth and profitability expectations in the electric two-wheeler space. Aggressive pricing across the segment has compressed margins, while higher input and operating costs have continued to weigh on earnings visibility. Market sentiment has turned more cautious, said Harshal Dasani, Business Head at INVasset PMS.

"The outlook from here will depend on a combination of demand recovery and operational execution. Stabilisation in sales volumes, improvements in cost efficiency and clearer progress toward operational breakeven would be key to restoring confidence. Execution across manufacturing scale, supply chain management and customer experience will be closely tracked," he adds.