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Ola Electric Mobility Ltd, the electric two-wheeler company led by Bhavish Aggarwal, experienced a significant surge in its share price on Tuesday, September 17, 2024. The stock jumped by 10%, hitting the upper circuit limit, marking a remarkable performance since its market debut in August. This surge propelled the company's market valuation to a substantial Rs 52,091.90 crore.
The stock's impressive performance reflects investor confidence in Ola Electric's future prospects. Since its initial public offering (IPO) on August 9, the stock has skyrocketed by 55.39%, demonstrating strong demand and positive sentiment from the market. The IPO itself was a resounding success, garnering 4.27 times subscription, with a price band of Rs 72-76 per share. This strong interest from investors reflects the growing demand for electric vehicles and the potential of Ola Electric to become a major player in the Indian electric mobility market.
Ola Electric's focus on manufacturing both electric vehicles and core EV components, such as battery packs, motors, and vehicle frames at its Ola Futurefactory, is a key factor driving its growth. This vertical integration allows the company to control its supply chain and enhance its efficiency, ensuring timely production and potentially reducing costs. This strategy has also positioned Ola Electric as a significant player in the Indian electric vehicle ecosystem, contributing to the country's goal of achieving sustainable transportation.