The shares of Ola Electric Mobility Ltd. made their stock market debut on the National Stock Exchange on August 9 with a listing price of Rs. 76, and so does the issue price of the IPO. The listing follows the grey market trading very tightly at Rs. 73, where the security was already being valued before listing on the exchange.
Significantly, market attention was drawn to the company’s Rs 6,154-crore initial public offer (IPO) with which it sold fresh equity shares as well as the offer for sale by existing investors. The issue was oversubscribed 4.27 times with QIBs subscribing 5.31 times to the allotment meant for them and retail investors at 3.92 times their portion. High Net Worth Individuals (HNIs) and employees also showed good interest, and subscribed 2.4 times and 11.99 times their reserved portion, respectively.
Ola plans to use the sale proceeds to further develop the company’s cell manufacturing unit, and for debt repayment, advancing its R&D activities, and organic growth. The Company is one of the leading electric vehicle companies which manufactures battery packs, motors, and vehicle frames at its factory called Ola Futurefactory.
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Source: Moneycontrol
News Desk
