Ola Electric Secures Rs 3,200 Crore Funding for Business Expansion

Ola Electric, a Bengaluru-based company, has recently secured an impressive funding of Rs 3,200 crore (approximately USD 380 million) from a consortium of investors led by Temasek and State Bank of India (SBI).

The infusion of capital will play a pivotal role in bolstering Ola Electric's expansion initiatives within the electric vehicle (EV) sector. A significant portion of the raised funds is earmarked for the establishment of India's inaugural lithium-ion cell manufacturing facility in Krishnagiri, Tamil Nadu.

This strategic investment signifies Ola's intent to fast-track the growth trajectory by amplifying its two-wheeler manufacturing capacity and subsequently venturing into electric motorcycles, followed by the development of electric cars. The company aims to expedite the construction of a state-of-the-art gigafactory, which stands as a pivotal milestone in transforming Ola into a global EV hub, steering away from traditional internal combustion engine (ICE) automobiles.

In alignment with its commitment to innovation and technology in the EV domain, Ola is aggressively ramping up its manufacturing capabilities to accelerate the transition towards sustainable mobility. Notably, the company has been selected by the government under the cell production-linked incentive (PLI) scheme, securing a substantial capacity of 20 GWh, emphasizing its dedication to pioneering core technologies in EVs and cell production.

News by Rahul Yelligetti