Trends
India’s Ola Electric IPO gains $2B of bids from big institutions
Ola Electric received bids worth over $2 billion for the $330 million quota reserved for major institutions, one day before the launch of its IPO on August 1.
Headline
Ola Electric received bids worth over $2 billion for the $330 million quota reserved for major institutions, one day before the launch of its IPO on August 1.
Context
OUR TAKE Ola Electric’s successful IPO, attracting significant institutional interest, highlights the growing importance of sustainable transport in India. With strong revenues and a focus on vertical integration, the company is well-positioned to capitalise on the EV market’s expansion. The substantial oversubscription underscores investor confidence in green mobility. –Vicky Wu, BTW reporter Ola Electric has secured over $2 billion in bids from institutional investors ahead of its initial public offering (IPO) opening to retail investors, according to a source with direct knowledge of the matter. Shares have been allocated to Nomura, Norges Bank, and several Indian mutual funds.
Evidence
Pending intelligence enrichment.
Analysis
The Indian electric scooter manufacturer, backed by SoftBank , aims to raise $734 million in what is the largest IPO in the country this year. The allocation for major institutional investors, totalling $330 million, was finalised on Thursday. SBI and HDFC Mutual Funds received shares valued at $30-36 million each, while Nomura and Norges Bank were allocated shares worth approximately $24 million each. The IPO will conclude on August 6, with bidding for anchor investors having opened for a single day on August 1. Bidding for retail investors and eligible employees opens on Friday. The price band for the offering has been set at between $0.86 and $0.91 per share. Also read: SoftBank of Japan acquires British AI chipmaker Graphcore Also read: SoftBank shares rise on $1.86B debt offering as CEO talks up AI
Key Points
- Ola Electric received bids worth over $2 billion for the $330 million quota reserved for major institutions, one day before the launch of its IPO on August 1.
- Bidding for retail investors and eligible employees opens on Friday. The price band for the offering has been set at between $0.86 and $0.91 per share.
Actions
Pending intelligence enrichment.
