Ola Electric, one of the major companies in the electric two-wheeler market, is planning to launch its initial public offering (IPO) soon. The company started selling electric scooters nearly two years ago and has already captured the leading position in this market with a 38% market share.
Bhavish Aggarwal, the founder, and chief of the company, told Bloomberg, “I estimated it would take four to six years to list on the stock market. It could happen much earlier now. Ola Electric has grown faster than my initial plan, and the market response is very strong.” The company has received funding from significant investors such as SoftBank Group from Japan. According to data from the Society of Indian Manufacturers of Electric Vehicles, Ola Electric has sold more than 2.39 lakh electric scooters since its inception. The company’s plan includes launching a motorcycle by the end of this year and an electric car next year. Aggarwal also mentioned considering exporting scooters to Southeast Asia, Latin America, and Europe. However, the plan is delayed due to the high demand for the company’s electric scooters in India.
Ola Electric is also establishing a factory to manufacture lithium-ion cells in South India. This move will help the company fulfill the battery requirement for its electric vehicles. Aggarwal stated that manufacturing EV components will facilitate selling electric cars in large numbers and increase margins.
Recently, Ola Electric began testing its electric scooter, the S1 Air, and has started booking orders. The scooter is expected to have a range of 165 kilometers on a single charge and a top speed of 85 kmph. It will be available in five dual-tone colors – Coral Glam, Neo Mint, Porcelain White, Jet Black, and Liquid Silver – with a price ranging from approximately INR 84,999 to INR 1,09,000 (ex-showroom).