EV Stock Locked in 20 per cent Upper Circuit for Second Consecutive Day; Crossing Rs 100 mark and Extending Listing Gains to 44 per cent
The company’s shares were listed on the stock exchange at a par value of Rs 76.
Ola Electric Mobility Ltd jumped 20 per cent on its 2nd trading day of the market. The stock saw huge demand since opening and reached a new high of Rs 109.44 on Monday. The stock traded with a volume of 20.95 crore today. Since listing stock has given the return of 44 per cent to its investors. The total volume traded since debut is 73.47 crore shares.
The stock of Ola Electric Mobility Limited settled at Rs 76 per share on the BSE, showing the listing at an exact par value of Rs 76. Additionally, on the NSE, the company's shares opened at Rs 76 per share. In the trading hours the stock saw stronger buying interest which pushed stock price to the upper circuit band of 20 per cent and locked at Rs 91.18. The market capitalisation on the BSE stands at around Rs 40,217.95 crore.
Founded in 2017, Ola Electric Mobility Limited is an electric vehicle company that primarily manufactures electric vehicles and certain core components for electric vehicles such as battery packs, motors, and vehicle frames at the Ola Futurefactory.
IPO Proceeds
The company proposes to utilise the Net Proceeds for capital expenditure to be incurred by its subsidiary, OCT for expansion of the capacity of its cell manufacturing plant from 5GWh to 6.4 GWh, classified as phase 2 under the expansion plan, repayment or pre-payment, in full or part, of the indebtedness incurred by its Subsidiary, OET, also investment into research and product development, and some expenditure to be incurred for organic growth initiatives.
Subscription details
On August 06, 2024, the final day of the IPO window, the IPO witnessed some good response, with a subscription rate of 4.45 times. The employees issue received great interest, with the retail category being subscribed 4.05 times, while the QIB and NII categories reached subscription rates of 5.53 and 2.51 times, respectively.
The IPO price band was Rs 72 and Rs 72, with a face value of Rs 10 per share and a lot size of 195 shares. The total size of the company's IPO was Rs 6,145.56 crore, and the final share issue price was fixed at Rs 76 each.
Conclusion
The crucial question that arises in everyone's mind is whether to hold onto the shares or book profits. Investors who applied for listing gains only have already earned nothing as on the listing day itself they can choose to book the profit generated on debut day. On the other hand, investors with a higher risk appetite may opt to hold the shares for the medium to long term, which could prove to be beneficial.
Investors must keep this Large-Cap listed IPO stock on their radar.
Disclaimer: The article is for informational purposes only and not investment advice.