For a smooth and successful launch of its Initial Public Offering (IPO) in late 2023, Ola Electric will organise its investor meeting next week. The Indian e-scooter maker will hold talks with investors in Singapore and the USA for its up to $1 billion IPO, reported Reuters citing sources.
The company is expected to file its regulatory papers on the IPO for approval by August, according to the news agency.
Ola is planning to raise between $600 million and $1 billion in its initial public offering (IPO) planned for late 2023, reported Reuters. The company is backed by foreign investors like SoftBank and Temasek.
Over the next two weeks, Ola founder Bhavish Aggarwal will travel to Singapore, the United States, and the United Kingdom to meet its investors and explain to them the business potential of India's nascent EV market.
During the trip, Bhavish Aggarwal will meet investors like BlackRosk, Singapore's sovereign wealth fund GIC, and mutual funds such as T Rowe Price, the first source told Reuters.
"EVs are still an emerging space and while there are some global parallels, it is an even newer story in India. So Bhavish wants to take the extra time to create comfort for investors," a first source told Reuters.
Recently, the company has also appointed Bank of America as one of its lead managers on the IPO. Other than BoA, Goldman Sachs, Citi, and local Kotak Banks, Axis, and ICICI Securities, will also be responsible for the smooth execution and management of its IPO plans. Bank of America also didn't provide any official comments on Ola IPO plans.
As of now, there has been no official comment from Ola Electric on its planned investor meetings.
In the nascent but promising India EV sector, Ola is planning to become the market leader with its IPO. The company claims of selling around 30,000 a month, priced around $1,600 each.
The investor meeting will help the company in gaining investor confidence and help the company achieve its growth prospects and valuation, which is expected to be more than $5 billion, the sources said.
The ever-growing E-scooter maker is currently competing with bigger companies like TVS Motors, Ather Energy, and Hero Electric. Nearly all these companies are established names in the petrol-diesel segment of automobiles.
