New Delhi [India], July 7 : Bhavish Aggarwal, the Chief Executive Officer of Ola, drew a parallel between Ola's journey and that of Maruti Suzuki, ahead of his electric mobility company Ola Electric's much-awaited IPO.
In a podcast with ANI, Aggarwal said, "20 years ago, the Maruti IPO came and public markets remember that after the Maruti IPO, there has been a certain growth. And, so we wanted to bring that for public investors to be part of our story if they wish to."
This comparison underscores Aggarwal's vision for Ola's IPO to serve as a transformative event for the company and its potential investors, reminiscent of Maruti Suzuki's impactful public market debut.
Delving into the upcoming initial public offering (IPO) of Ola, Aggarwal said that the company had submitted the final observations for its IPO.
Ola Electric initiated the process towards becoming a publicly traded entity by filing its Draft Red Herring Prospectus (DRHP) with SEBI in December 2023. SEBI granted its approval for Ola Electric's IPO in June 2024. According to SEBI's website, the approval includes the issue of shares amounting to Rs 5,500 crore and a follow-on-offer (OFS) worth Rs 1,750 crore, bringing the total IPO size to Rs 7,250 crore.
The observation letter, indicating SEBI's clearance, was issued on June 10, 2024, and the formal approval followed on June 20, 2024. The IPO includes a primary issue of Rs 5,500 crore, which involves the issuance of new shares to raise capital for the company.
He replied to SEBI queries and expects final approval from the regulator and IPO to be completed this year, stating, "We filed the final observations. There's still a bunch of process steps to go through over the next few weeks. And as we go through them, we are keen to get onto the markets, as soon as we get them, but you won't give a date from data because there's a SEBI process that you have to follow."
The company's public offering is expected to be one of the most significant in the Indian market, reflecting the growing importance of technology-driven enterprises in the country's economic landscape.
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