After a high security number plate manufacturer and vehicle registration agency sued Ola Electric Mobility Ltd. for nonpayment, the company's stock dropped as much as 6%. As a result, the stock dropped below Rs. 50 per share.
In an exchange filing made over the weekend, Ola Electric stated that Rosmerta Digital Services Ltd. had sued the company and had petitioned the National Company Law Tribunal (NCLT), Bengaluru, to start corporate insolvency proceedings against it.
Ola Electric responded by stating that it has obtained the necessary legal counsel and vehemently refutes Rosmerta's allegations.
Recent reports of the stock's sales figures have drawn attention to it. According to data from the Ministry of Road Transport and Highways' website, Ola sold 8647 scooters in February, although the EV company says it sold over 25,000.
Ola Electric said that it was renegotiating contracts with its vehicle registration companies on February 19 of this year. This will have a short-term impact on registrations on the government's vehicle registration system, but not on actual sales.
Ola Electric stated in a statement this week that by the first quarter of the fiscal year 2026, its automobile division will become profitable on an Earnings Before Interest, Tax, Depreciation, and Amortization (EBITDA) basis.
On Monday, Ola Electric Mobility's stock is down 6% at Rs. 47.45. The stock has corrected 70% from its post-listing high of Rs. 157, and it is down 37% from its issue price of Rs. 76 a share. Over the past month, the stock has dropped 18%.
