Upcoming IPO: Ola Electric To Launch Maiden Issue Next Week, Check Details Here
The firm, backed by Softbank, announced on Saturday that it will open its IPO for retail subscription next week on Friday. On August 1, 2024, the company will accept bids from institutional investors
Ola Electric is finally coming out with its initial public offering (IPO) next week, as the Indian electric scooter gets ready to start accepting bids for its maiden offer on August 2, 2024.
The firm, backed by Softbank, announced on Saturday that it will open its IPO for retail subscription next week on Friday. On August 1, 2024, the company will accept bids from institutional investors, its final IPO prospectus filing revealed. The bidding for retail subscriptions will close on August 6, 2024.
The listing will be valued between $4.2 billion to $4.4 billion, reported Reuters citing sources in the know. The company will see founder Bhavish Aggarwal dilute his stake and offload 37.9 million shares in the listing. This amount remains 20 per cent less than estimated earlier in the draft prospectus of the listing. ABP Live independently couldn't verify the authenticity of the news.
The report noted that the company’s expected valuation stands 18.5 per cent to 22 per cent lower as compared to the valuation noted in its last funding round in September last year. The particular round was led by Temasek, an investment firm based in Singapore, and placed the firm’s valuation at $5.4 billion.
Also Read : Bank Holidays: Branches To Remain Shut For 13 Days In August 2024, Check State-Wise Holiday List Here
Citing the sources in the know, the report said, “Some marquee investors are being offered the IPO at the lower end of the $4.2 billion-$4.4 billion valuation.” The report further said that the electric scooter company is planning the maiden listing at a lower valuation to ensure an increase in participation from investors applying for the IPO.
Earlier last month, the company received the nod from the Securities and Exchange Board of India (SEBI) for its maiden offer. The listing includes a fresh issue of shares worth Rs 5,500 crore and an offer-for-sale (OFS) of Rs 1,750 crore.
The firm plans to utilise funds raised from the issue towards capital expenditures, debt repayments, research and development, and inorganic growth.
Top Headlines
