Ola Electric IPO: In the wake of a flurry of IPOs in the stock market, Ola Electric is gearing up to join the ranks. This IPO marks a significant moment as it will be the first IPO launched by an auto company in nearly two decades. The last instance was in 2003 when car manufacturer Maruti Suzuki went public.Ola Electrics IPO, estimated to be around Rs 8,500 crore or approximately one billion dollars, is set to become one of the top 15 issues in the country in terms of size. Additionally, the company is poised to be the first pure-play electric vehicle (EV) manufacturer to be listed on the Indian stock exchange.Charting a New Course: Ola Electrics IPO JourneyThe draft prospectus for Ola Electrics IPO is anticipated to be filed this December, with the issue featuring a sale offer of fresh equity and contributions from existing investors. Key global investors, including Singapores Temasek and Japans SoftBank, have a stake in the company, adding to the potential success of the IPO.Driving Growth with FundsHaving raised Rs 3,200 crore in October through a mix of equity and debt, Ola is strategically deploying these funds. The primary focus is on accelerating the establishment of an electric vehicle manufacturing unit and a battery unit in the Tamil Nadu Gigafactories. Expected to be operational by early 2024, these Gigafactories are substantial manufacturing facilities dedicated to producing electric vehicles, contributing to environmental decarbonization.As Ola Electric revs up for its IPO, investors are keeping a close eye on the proceedings, anticipating the companys leap into the electric future.
