Ola Electric shares are in focus after the CCPA sought additional documents on consumer complaints

The focus will be on Ola Electric shares on Friday after the Central Consumer Protection Authority (CCPA) requested additional documents and information from the electric two-wheeler manufacturer in connection with the show cause notice issued earlier.

The communication sent by email on December 4 gives the company 15 days to submit its response, Ola Electric said in a filing with the stock exchange on Thursday.

The CCPA had on October 8 served a show cause notice on Ola Electric, seeking a reply to allegations of violation of consumer rights, misleading advertisements and unfair trade practices.

In its response on October 21, Ola Electric claimed that it had resolved 99.1% of the 10,644 complaints it had received.

In its exchange filing, the Bhavish Aggarwal-led company said the CCPA notice has no impact on its financial, operational or other activities.

Also Read: All eyes on RBI as liquidity may dry up amid low flows

The Bengaluru-based company has received customer complaints of software glitches and hardware issues with its scooters, from after-sales service.

Ola Electric’s market share in the electric two-wheeler segment fell by about 6 percentage points sequentially to 24.8% in November, according to vehicle registration data from the government’s vehicle portal. New vehicle registrations fell by 30%, from 41,161 units in October to 28,688 in November.

Global brokerage firm Citi Research, which recently raised Rs. Initiating coverage of Ola Electric with a target price of 90, it acknowledged challenges to its service reputation, but said it expects this to ease in the medium term “as the back-end supply chain grows with volume. growth”.

Also Read: No One Can Ban Bitcoin: Vladimir Putin’s Remarks That Ended Bitcoin’s $1 Lakh Dream

Meanwhile, Ola Electric is expanding its product portfolio. It recently launched two new electric scooter models – S1 Z and Gig – targeting gig economy workers and cost-conscious consumers in India.

On Thursday, shares of Ola Electric rose 0.11% on the BSE to Rs. 98.5, while the benchmark Sensex rose 1% to Rs. Its shares have fallen 14.5% in the past three months. The company currently has Rs. It has a market capitalization of 43,446 crores.

Also Read: Bitcoin Breaks $100K Barrier! What’s next after this milestone?

(disclaimer: Recommendations, suggestions, opinions and views given by experts are their own. (These do not represent the views of The Economic Times)