Ola Electric Secures $300 Million at $6 Billion Valuation; To Begin Ola S1 Air Deliveries In July

Ola Electric, led by CEO Bhavish Aggarwal, has secured $300 million in funding in its latest funding round, resulting in a valuation of $6 billion. An unnamed sovereign fund business took the lead in the investment round, and SoftBank Group, one of Ola Electric's first key investors, opted not to participate. 

The company plans to utilise the fresh funds to expand its electric two-wheeler capacity from 0.5 million to 2 million units yearly.

In addition to increasing its two-wheeler capacity, Ola Electric intends to establish an advanced cell chemistry battery plant using the new capital. Furthermore, the company is working to develop an electric passenger car facility that may materialise next year.

Ola Electric previously raised $200 million in funding in January 2022 at a valuation of $5 billion. The company has been making significant progress, with its two-wheeler electric vehicle registrations surpassing 20,000 units in March. Ola Electric plans to open 500 Experience Centers across main cities by April 2023.

Despite obstacles like complaints of safety and construction quality problems with its current electric scooters, Ola Electric has introduced two additional e-vehicles in lower pricing ranges. 

Bhavish Aggarwal recently released the Ola S1 Air electric scooter on Twitter, stating that he had test-driven the vehicle and expressed his excitement. Deliveries of the Ola S1 Air can commence in July of this year.

With a starting price of 84,999, the Ola S1 Air, the company's most cheap electric scooter, was introduced last year. It has Ola's MoveOS 3 and different versions and colour choices. With a 2.5 kWh lithium-ion battery, the scooter has a 76km range and can charge it fully in around 4.5 hours. It has multiple driving modes and a top speed of 85kmph.

Other participants in the electric mobility market, including Ather Energy, River, Hero Electric, Ampere, and Okinawa Autotech, are currently posing a threat to the corporation.

— Kritika Singhal

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