Ola Electric Mobility, backed by SoftBank, made a stellar debut on the stock market, with its shares surging 10% on Friday. This milestone listing, the first by a dedicated electric vehicle manufacturer in India, valued the company at a whopping  Rs 369.45 billion ($4.40 billion). Ola Electric Mobility, backed by SoftBank, made a stellar debut on the stock market, with its shares surging 10% on Friday. This milestone listing, the first by a dedicated electric vehicle manufacturer in India, valued the company at a whopping  Rs 369.45 billion ($4.40 billion).

Ola Electric's stock made a subdued debut on the National Stock Exchange, listing at Rs 76, its initial offer price, amidst a broader market upswing of 1%. However, the company's Rs 734 million IPO, the largest in India this year, had garnered a robust response with bids totaling Rs 1.8 billion earlier this week.

Ola Electric has rapidly become the leading player in India's electric scooter market, capturing a 39% share just three years after its first product launch. Although the company's revenues have skyrocketed, it still grapples with profitability. In the fiscal year ending March 2024, Ola Electric's sales surged 90% year-on-year, but its losses expanded by 8%, highlighting the challenges of balancing growth with profitability.

Ola Electric, which raised approximately $660 million from its IPO, intends to allocate the majority of the funds towards research and development initiatives and the expansion of its battery cell manufacturing capabilities.

Ola Electric is banking on producing its own battery cells to achieve profitability, which will also make its scooters more affordable for customers. The company aims to start commercial production of these battery cells by early 2025, a move expected to significantly enhance its competitiveness.