Motilal Oswal Financial Services and Calliope Capital Advisors have applied for a combined 2.39 crore shares in Ola Electric’s ongoing ₹1,000 crore rights issue, acquiring entitlements transferred by promoter group firms. This move underscores continued investor confidence amid Ola Electric’s strategic capital raise to support expansion and debt repayment.
- Motilal Oswal and Calliope together applied for 2.39 crore shares via rights issue
- Funds to support debt repayment and push organic business growth
- Ola Electric reported a narrower Q1 FY27 loss but saw a 45% revenue decline YoY
What happened
Motilal Oswal Financial Services and Calliope Capital Advisors have applied for a combined 2.39 crore shares under Ola Electric’s ₹1,000 crore rights issue. These shares come against rights entitlements transferred by promoter group companies ANI Technologies and Indus Trust. Motilal Oswal applied for 1.28 crore shares, while Calliope Capital took up 1.10 crore shares, both before the issue’s deadline on the opening day.
Renouncement of rights by ANI Technologies and Indus Trust means these entities transferred their subscription rights to these investors. Calliope Capital Advisors LLP is linked to Motilal Oswal via Navin Agarwal, reinforcing strategic investor interest. Ola Electric’s founder Bhavish Aggarwal and promoter group members are also subscribing or transferring their entitlements as per regulatory permissions.
Why it matters
The rights issue will help Ola Electric raise capital for multiple strategic priorities, including ₹350 crore toward repaying or prepaying borrowings and ₹400 crore for organic growth initiatives, particularly in battery cell manufacturing and energy storage systems. This fundraise reflects the company’s push to strengthen its balance sheet while investing heavily in core areas to drive future growth.
Despite a consolidated net loss in Q1 FY27 narrowing by 22% year-on-year to ₹336 crore, Ola Electric’s revenue suffered a 45% decline from the previous year. The infusion of capital through this rights issue is critical as it attempts to stabilize financials and accelerate product and technology development in a competitive EV market.
What to watch next
Investors will monitor how Ola Electric deploys the raised funds, especially the effectiveness of debt reduction and investments in battery and energy storage businesses. The company’s ability to translate these investments into revenue growth and improved profitability will be key in upcoming quarters.
Market participants will also watch the rights issue subscription levels closely as the issue closes on October 30. Successful completion with strong promoter and marquee investor participation could signal confidence in Ola Electric’s long-term prospects amid challenging market conditions and evolving EV sector dynamics.