Latest news with #OlaElectricMobilityLtd.
Time of India
4 days ago
- Business
- Time of India
Bhavish Aggarwal infuses ₹20 crore to top up Ola Electric share collateral amid stock slide
Bhavish Aggarwal, founder and CEO of Ola Electric Mobility Ltd., has infused around ₹20 crore (approx. $2.3 million) in cash to shore up collateral for a loan against his shareholding in the company, Reuters reports. The move comes as Ola Electric's stock price continues to decline, weighed down by disappointing sales and mounting losses. According to sources familiar with the matter, Aggarwal had raised ₹250 crore earlier this year by pledging his Ola Electric equity to fund his generative AI startup, Krutrim Data Center Pvt.. As the stock slid below ₹50 — a steep fall from its listing price of ₹76 in August 2023 — Aggarwal voluntarily topped up the collateral to maintain cushion, even though no margin call was triggered. The collateral reportedly remains more than double the loan amount. Ola Electric Faces Investor Scrutiny The SoftBank-backed e-scooter company has seen its shares fall by around 35 per cent since debut, driven by a mix of poor sales performance, governance concerns, and widening quarterly losses. The company recently reported that its losses have more than doubled, further shaking investor confidence. Recently, Hyundai Motor Co. and Kia Corp. reduced their stakes in Ola Electric, amid growing uncertainty around the firm's financial and regulatory outlook. Strategic Funding Amid Market Volatility Aggarwal's cash infusion underlines his continued backing of both Ola Electric and Krutrim, while also signaling a proactive attempt to shield his AI ambitions from volatility in the public markets. The episode highlights the risks associated with equity-backed loans in a turbulent market, especially as founders diversify into new ventures while their flagship companies face operational and financial headwinds.>
Mint
5 days ago
- Business
- Mint
Ola Electric's founder Bhavish Aggarwal pays ₹20 crore to top up collateral as shares slide
Bhavish Aggarwal, founder and chief executive officer of Ola Electric Mobility Ltd., paid about 200 million rupees ($2.3 million) in cash to top up collateral for borrowings against shares, according to people with knowledge of the matter, as the stock slid on poor sales. Aggarwal had raised 2.5 billion rupees for his generative AI venture Krutrim Data Center Pvt. by pledging Ola Electric equity and he voluntarily put in the extra money since March as the shares dipped below 50 rupees each, the people said, asking not to be identified as the details are private. No margin calls were triggered and the value of the stock collateral is more than twice the borrowed amount, they added. Investors are closely watching SoftBank Group Corp.-backed Ola Electric, whose shares have fallen about 35% since it listed at 76 rupees in August. Hyundai Motor Co. and Kia Corp. cut their stakes in the company in recent days after the Indian e-scooter firm said quarterly losses have more than doubled amid regulatory and governance concerns. Aggarwal has pledged or encumbered about 8% of his 30% Ola Electric stake, according to exchange data. Avendus Group, InCred Alternative Investments Pvt. and Modulus Alternatives Investment Managers had lent him the money in exchange for bonds issued by Krutrim, carrying coupon rates of around 14.9%-15.9% and backed by Ola Electric shares, according to data published by Bloomberg and one of the people. Avendus and InCred declined to comment. Modulus didn't immediately respond to Bloomberg's email seeking comment. A representative for Ola Electric said all founder pledges have been disclosed and there are no more material developments; it declined to comment on what it said were 'speculative' reports. As the value of the Ola Electric shares dipped, Aggarwal pre-funded 3-4 months of accrued interest instead of topping up the collateral with more shares, one of the people said. Aggarwal earned some 2.8 billion rupees having sold a portion of his Ola Electric stake in the IPO.
Mint
5 days ago
- Business
- Mint
Ola Electric's founder Bhavish Aggarwal pays ₹20 crore to top up collateral as shares slide
Bhavish Aggarwal, founder and chief executive officer of Ola Electric Mobility Ltd., paid about 200 million rupees ($2.3 million) in cash to top up collateral for borrowings against shares, according to people with knowledge of the matter, as the stock slid on poor sales. Aggarwal had raised 2.5 billion rupees for his generative AI venture Krutrim Data Center Pvt. by pledging Ola Electric equity and he voluntarily put in the extra money since March as the shares dipped below 50 rupees each, the people said, asking not to be identified as the details are private. No margin calls were triggered and the value of the stock collateral is more than twice the borrowed amount, they added. Investors are closely watching SoftBank Group Corp.-backed Ola Electric, whose shares have fallen about 35% since it listed at 76 rupees in August. Hyundai Motor Co. and Kia Corp. cut their stakes in the company in recent days after the Indian e-scooter firm said quarterly losses have more than doubled amid regulatory and governance concerns. Aggarwal has pledged or encumbered about 8% of his 30% Ola Electric stake, according to exchange data. Avendus Group, InCred Alternative Investments Pvt. and Modulus Alternatives Investment Managers had lent him the money in exchange for bonds issued by Krutrim, carrying coupon rates of around 14.9%-15.9% and backed by Ola Electric shares, according to data published by Bloomberg and one of the people. Avendus and InCred declined to comment. Modulus didn't immediately respond to Bloomberg's email seeking comment. A representative for Ola Electric said all founder pledges have been disclosed and there are no more material developments; it declined to comment on what it said were 'speculative' reports. As the value of the Ola Electric shares dipped, Aggarwal pre-funded 3-4 months of accrued interest instead of topping up the collateral with more shares, one of the people said. Aggarwal earned some 2.8 billion rupees having sold a portion of his Ola Electric stake in the IPO. Even though Ola Electric was trading at almost 50 rupees on Thursday, the top up cash won't be returned to Aggarwal given the ongoing concerns about the listed company, one of the people said. The scooter-maker's market share has shrunk to 18% in May from over 48% last year.
Bloomberg
16-03-2025
- Automotive
- Bloomberg
Ola Electric's Unit Faces Two Insolvency Pleas Over Vendor Dues
A unit of Ola Electric Mobility Ltd. is facing insolvency petitions from two of its key vehicle registration service providers in India over unpaid dues, adding to the EV maker's mounting troubles. Rosmerta Digital Services Pvt. and Rosmerta Safety Systems — suppliers of vehicle registration services and high-security registration plates respectively — have separately filed insolvency pleas against closely held Ola Electric Technologies Pvt., citing unpaid invoices, people familiar with the matter said.
