Ola Electric Mobility Ltd. set the price for its ₹1,000‑crore rights issue at ₹27 per share, marking a 26% discount to the ₹36.94 close on Wednesday, as disclosed in its exchange filing.
The rights issue will be executed in two calls: 60% of the ₹27 price payable on application, the remaining 40% due on a final call scheduled by the board. This staggered payment structure gives shareholders additional liquidity to meet the balance.
Shareholders eligible on the record date, fixed for October 13, will receive two new shares for every 25 held as of that date. The rights issue opens for subscription on October 22, closes on October 30, and on‑market renunciation can occur from 22 to 26 October.
Chairman and Managing Director Bhavish Aggarwal is expected to subscribe to the full entitlement, pledging a 4.32% stake in the company to fund his purchase without liquidating shares. The move is aimed at trimming debt and moving the electric two‑wheeler maker toward cash breakeven, potentially obviating another infusion in the near term, according to a banking source tracking the development.
Prior to this, Ola had raised ₹780 crore via a qualified institutional placement in June, having been cleared to raise up to ₹1,500 crore. The new proceeds will augment that capital base and help the company maintain its growth trajectory amid rising competition in the EV segment.
Investors will likely weigh the dilution against the strategic benefit of debt reduction; market watchers will monitor the subsequent impact on earnings and balance‑sheet strength.