Ola Electric In Court: Shares Fall 8% As Company Faces Lawsuit By Number Plate Maker

Ola Electric is facing mounting challenges, with news surfacing that Rosmerta Digital Services, a high-security number plate manufacturer, has filed a petition against the company at the National Company Law Tribunal, Bengaluru, seeking to initiate corporate insolvency proceedings due to alleged payment defaults. In response, Ola Electric has stated they strongly dispute these claims and have sought legal counsel. On Business Today TV's "Market Today," experts weighed in on the stock's situation. Vinit Bolinjkar, Head Research, Ventura Securities, expressed concern over Ola Electric's inability to maintain stable sales volumes, especially as the EV space is poised for growth. He suggested that if the company cannot regain sales momentum, it raises serious questions about product acceptability. Vinit Bolinjkar anticipates continued negativity surrounding the stock. Meanwhile, Vaishali Parekh, VP Technical Research and Analysis, Prabhudas Lilladher, acknowledged that Ola Electric is currently in a deep oversold territory and on a downward trend. She indicated that they are awaiting a reversal signal before making any further assessment, emphasizing the stock's current weakness. The combination of legal disputes and sales volume concerns paints a challenging picture for Ola Electric, with experts advising caution and a wait-and-see approach.