Ola to make electric cars in India in 2024
Indian ride-hailing firm Ola Electric plans to start producing electric cars in India in 2024 with a range of up to 500 km (310 miles), chief executive Bhavish Aggarwal said on Monday.
Ola, which is backed by Japan’s Softbank Group and currently makes e-scooters, did not give an investment figure or production target.
Aggarwal said that while companies like Tesla are leading the way in building electric vehicles more suited for Western markets, India can lead in the area of small cars, scooters and motorbikes for which global demand is higher.
Ola’s electric car with the most advanced features would go from 0 to 100 km per hour (62 miles per hour) in four seconds, he said.
The company was setting up an electric vehicle ecosystem, aiming to produce cars, two-wheelers and batteries all at a single plant in Tamil Nadu.
The company has sold over 70,000 electric two-wheelers in the last seven months, and was in the process of setting up 100 hyper charging electric stations in major cities in India, Aggarwal said.
Ola had planned to go public in the first half of 2022. Still, the initial public offering (IPO)has been postponed, possibly due to volatility in the market and lacklustre listings of some start-ups in India this year.
Ola, which has a majority share of India’s ride-hailing market, where it competes with Uber Technologies, had plans to raise up to $1 billion through the IPO.
Indian companies have raised a staggering $9.7 billion through initial public offerings (IPOs) in the first nine months of 2021, according to accountants EY, but the dismal stock market debut of Paytm caused worries among some bankers.
Ola is also gearing up to create something of a “super app” with plans to broaden its services beyond mobility to include personal finance and micro insurance.