Funding directed toward manufacturing scale-up and localized battery cell production amid rising competition in India’s EV market.
Ola Electric has approved a capital infusion of ₹20 billion into its wholly owned subsidiaries to strengthen electric vehicle manufacturing and battery cell production, reinforcing its strategy to build an integrated EV ecosystem in India.
According to a regulatory filing, the company’s board sanctioned an investment of ₹15 billion in Ola Electric Technologies and ₹5 billion in Ola Cell Technologies. The funds will be infused through compulsory convertible preference shares issued at par value, with completion expected by May 2027. Both entities will continue to operate as wholly owned subsidiaries following the transaction.
Ola Electric Technologies manages the company’s electric vehicle manufacturing operations and related mobility services. The fresh capital will support production expansion, operational efficiency improvements, and technology upgrades as competition intensifies in India’s electric two-wheeler market.
Ola Cell Technologies focuses on battery cell manufacturing and distribution — a critical area as India accelerates efforts to localize battery production and reduce dependence on imported cells. Strengthening in-house battery capabilities enables better supply chain control, improved cost efficiencies, and enhanced performance across electric vehicle platforms.
The investment reflects a broader industry shift toward vertical integration, with EV manufacturers increasingly investing in internal battery ecosystems to secure long-term competitiveness while aligning with India’s push for domestic energy storage manufacturing.
In FY25, Ola Electric Technologies reported revenue of ₹47.174 billion, while Ola Cell Technologies posted revenue of ₹730 million.
Overall, the capital infusion highlights Ola Electric’s continued focus on scaling both EV manufacturing and battery cell production, positioning the company to strengthen its competitive standing in India’s rapidly evolving electric mobility market.
