SoftBank sells 1.21 crore Ola Electric rights entitlements as EV maker seeks to raise Rs 1,000 crore

SoftBank trims its rights entitlements as Ola Electric seeks fresh capital amid falling revenue and market share pressure.

The investment vehicle sold nearly 82.93 lakh entitlements at Rs 3.64 apiece on October 22 and another 38.08 lakh at Rs 2.28 apiece on October 23.

SVF II Ostrich held 54.15 crore shares, or an 11.70% stake in Ola Electric, as of September 2026, according to shareholding data. Based on its holding and the rights issue ratio of two shares for every 25 held, the entity was entitled to approximately 4.33 crore rights shares. The entitlements sold account for about 27.9% of that estimated entitlement.

Ola Electric founder Bhavish Aggarwal held 122.75 crore shares, representing a 26.52% stake in the company, as of September 2026, according to shareholding data.

Meanwhile, Motilal Oswal Financial Services and Calliope Capital Advisors, an investment vehicle associated with Motilal Oswal, applied for a combined 2.39 crore shares under Ola Electric's rights issue on the opening day, October 22.

According to a stock exchange filing, Motilal Oswal applied for 1.28 crore shares, while Calliope Capital Advisors applied for 1.10 crore shares. Both entities acquired rights entitlements from promoter-group shareholders ANI Technologies and Indus Trust before applying for the shares.

Earlier this month, Ola Electric finalised the terms of its Rs 1,000-crore rights issue at Rs 27 per share, a 26% discount to its market price. The company will issue 37.03 crore partly paid-up equity shares under the offer.

Shareholders will pay Rs 16.20 per share upfront, with the remaining Rs 10.80 payable later. The company has said in earlier filings that it plans to collect the balance amount by October 31, 2027.

The rights issue opened on October 22 and will close on October 30. Shareholders can sell or transfer their rights entitlements in the market until October 26.

Fundraising follows Rs 780-crore QIP

The rights issue comes three months after Ola Electric raised Rs 780 crore through a qualified institutional placement (QIP) in June. The company had initially planned to raise Rs 500 crore through the issue.

Revenue declines, losses narrow in Q1

Ola Electric reported operational revenue of Rs 455 crore in the first quarter of FY27, down from Rs 828 crore in the year-ago period, as vehicle registrations declined sharply. Its net loss narrowed to Rs 336 crore from Rs 428 crore a year earlier.

In September, Ola Electric registered sales of 12,894 electric two-wheelers, accounting for a 6.5% market share, according to Vahan vehicle registration data, which serves as a proxy for sales. Its market share stood at 7.6% in August.

Ola Electric share price

Ola Electric Mobility shares were trading lower on Monday, October 26. At the last check, the stock was quoted at Rs 29.62 on the NSE, down 1.04% from the previous close of Rs 29.93.

The stock traded between Rs 29.18 and Rs 30.37 during the session.

Ola Electric shares have declined 21.06% so far in 2026, according to NSE data. At the prevailing market price, the company had a market capitalisation of Rs 14,811.09 crore.

Disclosure: This article has been written by Kumar Gaurav, who is not a Sebi-registered Research Analyst or an Investment Adviser. Gaurav and their ‘relative(s)’ (as defined under Section 2(77) of the Companies Act, 2013) do not hold any financial interest in the companies mentioned in this article as of the date of publication. The views/recommendations mentioned in this article, wherever applicable, are those of the respective Sebi-registered Research Analyst/brokerage and have been reproduced/reported with due attribution. They should not be construed as the views or recommendations of The Economic Times Digital or the journalist. Readers are advised to consider the original research report and make their investment decisions based on their own assessment. Brokerage disclaimers here