In the latest transaction executed today, Rs. 142 crore shares were involved. Agarwal Rs. This comes a day after over 2.6 crore shares were sold in a wholesale deal at 34.99, worth around Rs. 92 crores. Taken together, the two sales amount to about 6.8 crore shares offloaded in the span of two days.
After Tuesday’s sale, the company said the promoter has raised Rs. 260 crore has undertaken a one-time limited monetization of a small portion of his personal stake to fully repay the promoter level loan.
Ola said the sale is limited and personal in nature. However, the market response has been swift and negative. On December 17, shares of Ola Electric fell nearly 5% to Rs. 32.90 on the NSE before closing at Rs. It reached an all-time low of 32.67.
The company had earlier said the sale of Agarwal’s stake would release all previously pledged shares, which account for about 3.93% of the equity, removing what it described as a major overhang on the stock.
After the transactions, the promoter group is expected to hold around 34% stake in the company, which Ola Electric said is the highest promoter holding among newly listed technology companies.
The company emphasized that the stake sale was done entirely at the promoter’s personal level and would not result in any loss of control or change in operations, governance or long-term strategy of Ola Electric.
It added that the founder intended to operate with zero promoter pledges, eliminating leverage-related risks and potential volatility.
However, the sale comes at a difficult time for Ola Electric. The company is facing sluggish demand, declining market share and continued financial losses. Ola slipped to fifth place in the electric two-wheeler market in October, behind Bajaj, TVS, Hero and rival Ather. Monthly sales fell below 10,000 units to around 8,400 in November.
Financial performance has also been under pressure. In the September quarter, Ola Electric posted Rs. 418 crore reported a consolidated net loss, up from Rs. 495 crore was less than the loss, but the revenue was Rs. 43% down to Rs. 756 crore, underlining the challenges facing the company as competition intensifies and volumes soften.
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