South Korean carmaker Hyundai Motor has completely exited Ola Electric by selling all its shares. It sold over 10.8 crore shares for about INR 552 crore in an open market deal at an average price of Rs 50.7 per share, according to data from the NSE.
Hyundai first invested in the Bengaluru-based EV startup in 2019.
On the same day, Kia Corporation, another carmaker from South Korea, also sold part of its stake in Ola Electric. It sold around 2.71 crore shares through an open market deal.
The shares were sold at an average price of Rs 50.55 each, bringing the total value of the deal to about INR 137.3 crore.
During these deals, Citigroup Global Markets bought 8.6 crore shares of Ola Electric for Rs 50.55 each.
Ola Electric’s stock, led by Bhavish Aggarwal, closed at Rs 49.33 on Tuesday. However, it went up slightly and opened at Rs 53 on Wednesday on the BSE.
These deals happened just a week after Ola Electric reported a big jump in its losses. The company lost INR 870 crore in the quarter ending March 31, which is more than double the INR 416 crore loss from the same time last year.
The company’s operating revenue fell by 62%, dropping to INR 611 crore from INR 1,598 crore. This happened because fewer people bought its electric two-wheelers, as competition from well-known companies like TVS Motor and Bajaj Auto increased.
In May, Ola Electric’s market share dropped sharply. It sold only 18,500 units, compared to 37,388 units in the same month last year—almost half as many.
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