Here's why Ola Electric shares jumped 4.5% on October 22; reasons here

The rise in the Ola Electric share price came after the company, on Monday, announced that it has resolved approximately 99.1 per cent of the 10,644 complaints received from CCPA

Ola Electric share price: Shares of electric two-wheeler maker Ola Electric soared up to 4.45 per cent to hit an intraday high of Rs 85.30 per share on Tuesday, October 22, 2024. 

The rise in the Ola Electric share price came after the company, on Monday, announced that it has resolved approximately 99.1 per cent of the 10,644 complaints received from the Central Consumer Protection Authority (CCPA).

Ola ELectric, via an exchange filing said, “We wish to reiterate that Ola Electric has a robust mechanism to address complaints raised with respect to our vehicles. In fact, we wish to emphasise that out of 10,644 complaints that we received from the CCPA, 99.1 per cent of the complaints were resolved to the complete satisfaction of the customer as per Ola Electric’s robust redressal mechanism.”

Meanwhile, the statement came just a day before the deadline (October 22) set by the CCPA. The CCPA had issued a show-cause notice to the Bhavish Aggarwal-led company on October 7, demanding an explanation for the handling of thousands of consumer complaints regarding service deficiencies, and providing 15 days to respond.

Ola Electric IPO 

Ola Electric Mobility made a lacklustre debut on the bourses despite positive market sentiments on August 8, 2024. The shares listed flat at Rs 75.99 on the BSE and Rs 76 on the NSE, against the issue price of Rs 76. 

The IPO was a combination of a fresh issue of 723.7 million shares aggregating to Rs 5,500 crore and an offer for sale of 84.9 million shares aggregating to Rs 645.56 crore.

However, post-listing, the stock rallied as much as 20 per cent to hit the upper circuit at Rs 91.18 per share.

Ola Electric, a pure EV player in India, is developing vertically integrated technology and production capabilities for EVs and EV components, including batteries.

The Bhavish Aggarwal-led company, which has approximately a 35 per cent market share in India's electric two-wheeler market in FY24, is focused on developing vertically integrated technology and production capabilities for EVs and EV components, including cells. 

At 12:02 PM, Ola Electric shares were trading 0.78 per cent higher at Rs  82.30. In comparison, BSE Sensex was trading 0.41 per cent lower at 80,818.65 levels.