Ola Electric falls 9% ahead of ₹ fundraise decision

Mobility shares fell over 9% to ₹38.60 on September 25, snapping a four-day gaining streak after rising more than 16% in the previous four sessions. The decline comes ahead of the September 28 board meeting to consider a rights issue for raising fresh capital. The proposed fundraise is important as the company had already raised ₹780 crore through a QIP in June, which was oversubscribed by 56%. A rights issue could provide additional liquidity, but investors will need to assess the size, pricing and intended use of funds once the board takes a decision. The key trigger now is the September 28 board outcome. Investors should monitor the proposed issue size, issue price, dilution and fund utilisation, along with Ola Electric’s ability to improve operating performance and cash generation. Tags: Stock In News, Fundamental Views, Watch Out For Disclosure: I do not hold any position in Ola Electric Mobility. This post is for informational purposes only and is not investment advice.