The Ola Electric IPO is set to launch for subscription on August 2, with a price range of Rs 72 to 76.

New Delhi, July 29 (IANS) Ola Electric, a domestic electric vehicle manufacturer, is preparing to launch its initial public offering (IPO) with shares priced between Rs 72-76. The IPO, which is set to raise Rs 5,500 crore, will open for subscription on August 2 and close on August 6. Retail investors will have access to around 10 percent of the shares offered.

The IPO will include an offer for sale (OFS) of up to 84.94 million shares, valued at Rs 645.96 crore at the maximum price. The total size of the issue will amount to Rs 6,145.96 crore, giving Ola Electric a market capitalization of approximately Rs 33,500 crore. Promoters Bhavish Aggarwal and Indus Trust will sell 3.79 crore and 41.79 lakh shares, respectively. Other investors, including SVF II Ostrich (DE) LLC, Alpha Wave Ventures II LP, Alpine Opportunity Fund VI LP, Internet Fund III Pte, Matrix Partners India Investments III LLC, and Ashna Advisors LLP, will also participate in the OFS.

Ola Electric plans to use about Rs 1,227 crore of the IPO proceeds for expanding its cell manufacturing plant. The funds will also be directed towards research, product development, and business growth.

In FY24, the company's net loss increased by 7.6 percent to Rs 1,584.4 crore, compared to Rs 1,472.1 crore the previous year. However, its operating revenue surged by 90 percent to Rs 5,009.8 crore from Rs 2,630.9 crore in FY23, as stated in its red herring prospectus (RHP).