Ola Electric Eyes First EV IPO, Targets ₹5,500 Crore Fundraise

India's electric vehicle company, Ola Electric, known for its electric scooters, has made a big move. On December 22, they submitted their draft papers to SEBI, the organization in India that oversees the stock market. This step is part of their plan to launch an IPO.

Ola Electric aims to gather a whopping Rs 5,500 crore through this IPO. This event is quite special because it's the first time an Indian electric vehicle company, especially one that makes two-wheelers like scooters, is going for an IPO. The last time a two-wheeler company did this in India was Bajaj Auto in 2008.

Now, let's talk about what's in these IPO papers. Ola Electric will sell new shares worth Rs 5,500 crore and some existing shares too. The founder of Ola Electric, Bhavish Aggarwal, is also planning to sell a part of his shares. The exact price for these shares and when you can start buying them hasn't been announced yet.

They're planning to use the money they raise in different ways. A big chunk, about Rs 1,226.4 crore, will go towards building the Ola Gigafactory, where they make batteries. They're also putting money into research and development, growing their business, and paying off some debts.

Talking about their business, Ola Electric is doing quite a few things. They focus on research and development, building their products efficiently, and selling directly to customers through their experience centers. 

As of now, they offer five scooter models and have a significant share in the electric two-wheeler market in India. They're also thinking about selling their scooters in other countries.

However, it's important to know that Ola Electric, like many growing companies, isn't making a profit yet. In fact, their losses have increased this year, mainly because they're spending a lot on building their business. But their sales have grown a lot too, making them a leader in the electric scooter market in terms of revenue.