/
•
•
Context is everything.
Detailed stories on technology startups, business and economic current affairs.
Detailed stories on technology startups, business and economic current affairs.
The EV maker is back for fresh capital as its businesses fail to generate enough to sustain themselves.
There is a limit to what capital can fix and that is the uncomfortable reality confronting Bhavish Aggarwal’s Ola Electric. Barely months after raising Rs 780 crore, the listed EV maker is back seeking more. Its board has approved a fresh Rs 1,500 crore raise.
If recent history is any guide, that may not be enough. In the 24 months since listing, Ola Electric has already approved two fundraises of Rs 1,500 crore each. Its latest approval (5 September) is yet to be tested in the market, but the pattern is clear: repeated fund infusions to stabilize the business. But …
A proposed Rs 12,000 crore incentive shifts the focus to components after the first scheme fell short. But raw material dependence, gaps in technology and China’s dominance remain.
The startup isn’t sure where its future lies—in electric motorcycles or the more recently announced electric scooter? Unsurprisingly, none of the products have amounted to anything so far.
The EV maker is turning to gig-worker rentals to absorb its scooter output. But questions on cost, competition and execution make its latest pivot uncertain.
