Shares of Ola Electric Mobility made a flat listing at Dalal Street on Friday as the stock was listed at par at Rs 76, at the issue price on NSE, bucking the expectation of discounted listing. Similarly, the stock was listed at a negligible premium of 0.01 per cent at Rs 75.99 on BSE.
The listing can be said to be better than the expectations as the company was headed for a discount listing at bourses. Ahead of its listing, shares of Ola Electric Mobility were exchanging hands at a discount of Rs 3 in the grey market, suggesting a erosion of 4 per cent of the investor's capital.
The IPO of Ola Electric Mobility was open for bidding between August 2 and August 6, where the pure-play EV player had offered its shares in the fixed price band of Rs 72-76 per share with a lot size of 195 shares. The company raised a total of Rs 6,145.56 crore from its IPO, which included a fresh share sale of Rs 5,500 crore and an offer-for-sale (OFS) up to 8,49,41,997 shares.
The issue was overall subscribed a total of only 4.27 times. The quota for qualified institutional bidders (QIBs) was booked 5.31 times. The quota for non-institutional investors was subscribed only 2.40 times. The portions reserved for retail investors and employees saw bidding for 3.92 times and 11.99 times during the bidding process.
Bengaluru-based Ola Electric Mobility was founded in 2017. It is a pure-play electric vehicle player that primarily manufactures electric vehicles and certain core components for electric vehicles such as battery packs, motors, and vehicle frames at the Ola Futurefactory.
Brokerage firms had mixed views on the IPO. Kotak Mahindra Capital, BofA Securities India, SBI Capital Markets, Axis Capital, Citigroup Global Markets, Goldman Sachs (India) Securities, ICICI Securities and BOB Capital Markets were the lead managers of the IPO, while Link Intime India served as the registrar for the issue.
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