The Securities and Exchange Board of India (Sebi), the country's markets regulator, has granted approval for the initial public offerings (IPOs) of Ola Electric and Emcure Pharmaceuticals, paving the way for their imminent public listings.
Ola Electric, headquartered in Bengaluru and specializing in electric vehicles (EVs), is poised to make history as the first EV startup to debut on the stock exchanges. The company is targeting a valuation of approximately $6 billion through its IPO, which includes a fresh equity issuance of Rs 5,500 crore and an offer-for-sale (OFS) of 95.2 million shares.
Founder Bhavish Aggarwal, along with major investors such as SoftBank Vision Fund and Tiger Global, will participate in the OFS. Ola Electric intends to utilize the proceeds from the IPO to enhance the manufacturing capacity of its subsidiary OCT, repay debts, fund research and development initiatives, pursue inorganic growth opportunities, and address general corporate needs.
In the fiscal year FY23, Ola Electric recorded significant revenue growth, soaring from Rs 373 crore in FY22 to Rs 2,631 crore, although its losses widened to Rs 1,472 crore.
Alongside Ola Electric, Sebi has also greenlit the IPO of Emcure Pharmaceuticals, a Pune-based firm backed by Bain Capital. Emcure Pharma plans to offer Rs 800 crore worth of fresh equity and an OFS of 1.36 crore equity shares by promoters and existing shareholders.
The funds raised through Emcure Pharma's IPO will primarily be allocated towards debt repayment and general corporate purposes. The company specializes in the development, manufacturing, and marketing of pharmaceutical products across diverse therapeutic areas.
The IPOs of both Ola Electric and Emcure Pharmaceuticals are being managed by leading financial institutions including Kotak Mahindra Capital, BofA Securities, Axis Capital, SBI Capital Markets, Citigroup, Goldman Sachs, ICICI Securities, BoB Capital Markets for Ola Electric, and Kotak Mahindra Capital Company, Jefferies India, Axis Capital, and JP Morgan India for Emcure Pharmaceuticals.
Ola Electric and Emcure Pharmaceuticals are expected to initiate their IPOs in the forthcoming months, marking significant milestones in the Indian capital markets.
