In a major offloading move, Hyundai Motor Company and Kia Corporation sold shares worth nearly ₹690 crore in electric two-wheeler maker Ola Electric via open market transactions on Tuesday, according to NSE bulk deal data.
Hyundai sold 108 million shares at ₹50.70 per share, totaling ₹551.9 crore, while its affiliate Kia offloaded 27 million shares at ₹50.55 apiece, fetching ₹137.3 crore.
In the same session, Citigroup Global Markets Mauritius emerged as a significant buyer, acquiring Ola Electric shares worth ₹435.4 crore.
Stock Declines as Financial Struggles Deepen
Shares of Ola Electric closed 8per cent lower at ₹49.33 on the National Stock Exchange (NSE), reflecting investor concerns amid the company’s deteriorating financial performance and heightened scrutiny.
The Bengaluru-based EV maker reported a net loss of ₹870 crore in the quarter ended March 31, 2025, more than doubling from ₹416 crore a year earlier. Operating revenue fell 62per cent to ₹611 crore, largely due to a sharp decline in electric scooter sales.
Board Approves Debt Raise to Stabilize Finances
In an effort to shore up its finances, Ola Electric’s board recently approved a proposal to raise up to ₹1,700 crore through non-convertible debentures (NCDs) and other debt instruments. This marks the company’s first fundraising initiative since its August 2024 IPO.Ola Electric’s recent performance has been impacted by declining market share, a sliding stock price, and increased regulatory scrutiny in the electric vehicle sector. The stake sale by Hyundai and Kia—early backers of the company—adds to growing concerns about the startup’s future trajectory in an increasingly competitive market.
The company’s next steps in managing liquidity and restoring investor confidence will be closely watched in the coming quarters.
