Getty ImagesBhavish Aggarwal, CEO, Ola Electric
Electric two-wheeler (E2W) manufacturer Ola Electric on Friday disputed a media report that claimed the company was under regulatory scrutiny by the Securities and Exchange Board of India (Sebi) over alleged insider trading, saying the article contained factual inaccuracies.
“We would like to bring to your attention that the story titled “Ola Electric likely In Sebi crosshairs over alleged insider trading” contains factual inaccuracies that could potentially harm the reputation of Ola Electric Mobility Limited,” the company said in a filing with stock exchanges.
The Bhavish Aggarwal-led company clarified that the individual mentioned in the article is an employee of Ola Electric Technologies Private Limited and holds employee stock ownership plans (Esops) of Ola Electric Mobility. The trades referenced, it said, were routine transactions involving shares acquired through the exercise of these Esops and not through open market purchases.
Earlier in the day, news platform NDTV Profit, citing sources, reported that Sebi was looking into two instances of alleged insider trading at Ola Electric between October and December 2024. The report also suggested that the company’s related-party transactions and a sales mismatch in February might be under the regulator’s scanner.
The clarification comes at a time when Ola Electric is navigating a challenging phase, facing declining market share and rising regulatory scrutiny over sales discrepancies, vehicle quality issues, and the absence of trade certificates at its retail outlets.
In April, the company lost its leadership position in the E2W segment to TVS Motor, posting a 42% year-on-year (YoY) drop in sales. Ola Electric recorded 19,709 vehicle registrations last month, translating to a 21.46% market share, according to data from the government-run Vahan portal.
In the October-December quarter, the company’s net loss widened 50% YoY to Rs 564 crore, while its operating revenue plunged 19%. Ola Electric has yet to report its financials for the fourth quarter of FY25.
#Pahalgam Terrorist Attack
The Bhavish Aggarwal-led company clarified that the individual mentioned in the article is an employee of Ola Electric Technologies Private Limited and holds employee stock ownership plans (Esops) of Ola Electric Mobility. The trades referenced, it said, were routine transactions involving shares acquired through the exercise of these Esops and not through open market purchases.
Earlier in the day, news platform NDTV Profit, citing sources, reported that Sebi was looking into two instances of alleged insider trading at Ola Electric between October and December 2024. The report also suggested that the company’s related-party transactions and a sales mismatch in February might be under the regulator’s scanner.
The clarification comes at a time when Ola Electric is navigating a challenging phase, facing declining market share and rising regulatory scrutiny over sales discrepancies, vehicle quality issues, and the absence of trade certificates at its retail outlets.
In April, the company lost its leadership position in the E2W segment to TVS Motor, posting a 42% year-on-year (YoY) drop in sales. Ola Electric recorded 19,709 vehicle registrations last month, translating to a 21.46% market share, according to data from the government-run Vahan portal.
Discover the stories of your interest
In the October-December quarter, the company’s net loss widened 50% YoY to Rs 564 crore, while its operating revenue plunged 19%. Ola Electric has yet to report its financials for the fourth quarter of FY25.
