Ola Electric Mobility: Profits Booked as Stock Plunges

Shares of Ola Electric Mobility plunged nearly 5% as investors booked profits post-price surge since the company's listing this month. The stock fell to Rs 131.30 on BSE and Rs 131.55 on NSE. Despite a successful initial rally, the company's net loss widened, with plans to make electric cars shelved.

Shares of Ola Electric Mobility plunged nearly 5 per cent on Thursday as investors booked profits following its price surge since listing earlier this month.

The stock of the company declined by 4.96 per cent to close at Rs 131.30 apiece on the BSE and dropped 4.71 per cent to settle at Rs 131.55 per piece on the NSE.

In the intraday session, Ola Electric Mobility's scrip tumbled more than 8 per cent, hitting a low of Rs 125.96 and 126.05 apiece respectively on BSE and NSE. Despite a spectacular rally upon its debut on August 9, surging 107 per cent to touch Rs 157.5 on August 20, the company's net loss widened in the first quarter of this fiscal.

In an interaction with PTI, Ola founder and CMD Bhavesh Aggarwal announced the company has scrapped plans to develop electric cars, favoring a focus on two-wheelers and other products to drive profitability. Aggarwal emphasized the need for a sustainable energy and automotive paradigm suited to India's specific needs.

(With inputs from agencies.)