Ola electric approves Rs 2,000 crore investment to boost cell and technology arms

Ola Electric Mobility Limited's board has approved a total investment of Rs 2,000 crore in two wholly owned subsidiaries. The company disclosed this decision in a regulatory filing to the stock exchanges on May 15, 2026. The funding aims to support ongoing operations in technology and battery cell manufacturing.

Key Highlights

• Ola Electric to invest Rs 2,000 crore in two subsidiaries for technology and cell manufacturing
• Rs 1,500 crore allocated to Ola Electric Technologies and Rs 500 crore to Ola Cell Technologies
• Both investments to be completed by May 14, 2027, with parent company retaining full ownership

Investment Details and Structure

Ola Electric will invest Rs 1,500 crore in Ola Electric Technologies Private Limited. This subsidiary manages the electric vehicle value chain and manufactures Ola's electric scooters. The investment will be made through the issuance of 150 crore compulsory convertible preference shares, each with a par value of Rs 10. For the financial year 2024 to 2025, Ola Electric Technologies reported a turnover of Rs 4,717.48 crore.

An additional Rs 500 crore will go to Ola Cell Technologies Private Limited. This subsidiary focuses on the manufacturing, processing, assembly, and distribution of battery cells. The funding will be routed through 50 crore convertible preference shares at Rs 10 each. Ola Cell Technologies recorded a turnover of Rs 73.00 crore in the 2024 to 2025 financial year.

Timeline and Ownership Structure

Both investments are scheduled for completion on or before May 14, 2027. Ola Electric confirmed that the transactions are conducted on an arm's-length basis. Both subsidiaries will remain wholly owned by Ola Electric, ensuring the parent company retains full control.

Business Performance and Additional Updates

Despite a slight increase in domestic sales volume, Ola Electric reported a decline in full-year net profit. The company also announced expanded AI capabilities to support prompt-based code generation and cross-platform intelligence. In addition, Ola Electric introduced a retrofitted electric “Super Luxury” AC bus with a claimed range of over 230 km. This bus will undergo operational trials as part of the company's ongoing innovation efforts.

Also Read: Ola Electric S1 X+ 5.2 kWh gets ICAT nod for 4680 Bharat cell

CarBike 360 Says

This strategic investment highlights Ola Electric’s commitment to vertical integration and technological independence in India’s rapidly evolving EV space. By strengthening its cell manufacturing and core tech capabilities, the company aims to reduce reliance on imports while improving efficiency and innovation. The move could play a crucial role in shaping Ola’s competitive edge and accelerating EV adoption nationwide.