Ola Electric is strengthening its manufacturing and battery ambitions with a fresh capital infusion of Rs 2,000 crore into its key subsidiaries.
According to a stock exchange filing, the board of Bhavish Aggarwal-led Ola Electric has approved investments into its wholly owned subsidiaries Ola Electric Technologies Private Limited (OET) and Ola Cell Technologies Private Limited (OCT).
The company will invest Rs 1,500 crore into OET and another Rs 500 crore into OCT through compulsory convertible preference shares issued at par.
The filing stated that the proceeds will be used to support operational and business requirements across both entities.
OET serves as Ola Electric’s primary electric vehicle manufacturing and EV ecosystem arm, handling the production and supply of electric vehicles along with services across the broader EV value chain.
Meanwhile, OCT focuses on battery and cell manufacturing operations, including battery processing, assembling, repair and distribution.
The latest investment highlights Ola Electric’s continued push towards building vertically integrated EV and battery manufacturing capabilities in India at a time when competition in the electric mobility sector is intensifying rapidly.
Financially, OET reported a turnover of Rs 4,717.48 crore in FY25 compared to Rs 5,149.02 crore in FY24.
OCT, however, witnessed sharp growth during the same period, with turnover increasing to Rs 73 crore in FY25 from just Rs 3.97 crore in the previous fiscal year, reflecting the company’s increasing focus on battery manufacturing operations.
The capital infusion also comes amid a critical phase for Ola Electric.
After facing months of declining sales and growing competitive pressure from rivals such as TVS Motor, Bajaj Auto and Ather Energy, the company witnessed a recovery in demand beginning March this year.
Sales more than doubled during the month and momentum continued into April, when Ola Electric captured an 8.18% market share in the electric two-wheeler segment.
Despite the operational recovery, financial challenges continue to remain.
While Ola Electric is yet to announce its Q4 FY26 results, the company had earlier reported a sharp 55% decline in revenue to Rs 470 crore during Q3 FY26.
The firm, however, managed to marginally narrow its losses through aggressive cost-control measures and operational efficiencies.
Industry analysts believe Ola Electric’s increasing investments into cell manufacturing and supply chain integration reflect a broader long-term strategy to reduce dependency on imports and improve cost competitiveness in India’s fast-growing EV market.
The company has been aggressively positioning itself as a full-stack EV manufacturer with ambitions spanning vehicle production, battery technology, software, charging infrastructure, and energy storage.
As India’s electric mobility market continues to mature, battery localisation and manufacturing scale are increasingly emerging as critical differentiators for EV companies competing on pricing, margins and supply chain resilience.
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