Ola Electric: Farhan, Zoya Akhtar to gain big in IPO; this employee gets 3x salary than Bhavish Aggarwal!

Ola Electric Mobility is set to launch its much-awaited initial public offering (IPO) later this week and India's first ever-pure play EV issue will handsomely reward its top executives and early investors, when the company makes its Dalal Street debut at the bourses. However, the gains can not be cashed in as the pre-IPO equity comes in with a lock-in of six months.
 

At the upper end of the price band, which is announced in the range of Rs 72-76, top-10 executives of Ola Electric are sitting on a cash value of around Rs 10,850 crore. Among the top brass of Ola Electric, Bhavish Aggarwal, the founder and CEO of the company owns 1,36,18,75,240 equity shares, amounting to Rs 10,350 at the upper end of the price band.
 

Aggarwal's cost of acquisition of the shares was nil as per the red herring prospectus (RHP) of the company and he is offloading 3,79,15,211 equity shares from his stake. The stake sale by the Chief Executive of Ola Electric will be worth Rs 288.15 crore at the upper range of Rs 76 apiece.
 

The IPO of Ola Electric will open for bidding on Friday, August 2 and can be subscribed till Tuesday, August 6 as the company aims to mop up to Rs 6,145.56 crore via its initial stake sale, which includes a fresh share sale of Rs 5,500 crore and offer-for-sale of up to 8.49 crore equity shares by its promoters and existing shareholders.
 

Other prominent names who are selling shares in the OFS include Matrix Partners India Investments and Alpha Wave Venture who will be selling up to 37,27,534 equity shares and 37,82,883 equity shares respectively, minting a profit of 9.25 times and 1.21 times from their average cost of acquisition at Rs 8.22 and Rs 62.38, respectively.
 

Among other shareholders participating in OFS, Alpine Opportunity Fund and Tekne Private Ventures XV are booking losses in the issue, as their average cost of acquisition stands at Rs 111.51 and Rs 113.12 per share, respectively. Both investors are cumulatively offloading 16.05 lakh shares worth Rs 12.20 crore.
 

Matrix Partners India cumulative owns 12,96,46,570 equity shares of Ola Electric and it is pocketing shares worth Rs 28.32 crore and will be left it 12,59,19,036 shares worth Rs 956.98 crore at the upper end of the price band.
 

Bollywood Siblings Farhan Akhtar and Zoya Akhtar are also among the investors in the Ola Electric. Farhan owned 3,55,683 equity shares of the company, amounting to Rs 2.70 crore, while his sister Zoya held 1,77,841 equity shares valued at Rs 1.35 crore at the upper end of the price band.
 

Interestingly, an expert in battery manufacturer named Hyun Shik Park was the top earner at Ola Electric in the financial year 2023-24 leaving the top brass of management behind in terms of salary. Coming with an experience of 36 years in South Korean consumer-electronics giant LG, Park bagged Rs 8.7 crore in FY24, according to a report by Moneycontrol.
 

Ranked as chief operations officer of Ola Cell Technologies, a wholly-owned subsidiary of Ola Electric, Park received 17.3 lakh shares in Ola Electric during the fiscal year, potentially worth over Rs 13 crore post-IPO. Bhavish Aggarwal's salary for FY24 stood at Rs 2.88 crore the report suggested.