Ola Electric’s shares nosedive after SoftBank trims stake

New Delhi: Shares of Ola Electric Mobility dropped nearly 8 per cent in intra-day trading session after Japanese investment giant SoftBank cut its stake in the electric scooter maker through open market deals.

According to a regulatory filing, SoftBank’s investment arm SVF II Ostrich (DE) LLC sold about 94.9 million shares of Ola Electric between July 15 and September 2. This stake sale amounted to over 2 per cent of the company’s equity, triggering mandatory disclosure under SEBI rules.

Before the sale, SoftBank held 17.83 per cent in Ola Electric with 786.6 million shares. Its holding has now reduced to 15.68 per cent, or about 691.6 million shares. Despite this trimming, SoftBank continues to be one of the largest institutional shareholders in the company. The Japanese investor has been an early backer of Ola Electric, investing across multiple funding rounds before the company’s stock market debut. The share sale by SoftBank spooked investors, dragging Ola Electric’s stock down to Rs 59.32 apiece.

This marked a fall of more than 8 per cent and extended its two-day decline to over 14 per cent. Around 1:30 pm, the shares of the electric two wheeler maker were trading at Rs 60, down by Rs 4.50 or 6.98 per cent during the intra-day trading session.