Ola Electric share price jumped over 5% in intra-day trade on Friday, December 26, as investors reacted to the company’s announcement of government-sanctioned incentives worth ₹366.78 crore under the Production Linked Incentive (PLI)-Auto scheme for FY25.
The stock climbed as much as 5.4% during the session, touching an intraday high of ₹37.28. The positive reaction comes a day after the company disclosed the development through an exchange filing on December 25, while domestic markets were closed for Christmas.
Market Performance
Ola Electric shares have shown a modest recovery in recent sessions, yet they continue to trade well below historic highs.
- 52-week high: ₹99.90 (December 2024)
- 52-week low: ₹30.79 (December 18, 2025)
- Gain over past five trading sessions: ~10%
- One-month decline: over 10%
- Six-month decline: 15%
- One-year decline: ~61%
- Year-to-date 2025 decline: ~58%
Despite Friday’s rally, the stock’s broader trend remains weak, reflecting volatility that has characterized Ola Electric in recent months.
Government Sanctions ₹366.78 Crore Under PLI-Auto
Ola Electric confirmed in its exchange filing that the sanctioned amount pertains to demand incentives for determined sales value for FY25 under the PLI-Auto scheme. The release of funds will be managed through IFCI Limited, the designated financial institution responsible for disbursing incentives under the scheme.
The company emphasized that the incentive has been sanctioned strictly in line with the terms and conditions of the PLI-Auto Scheme, which has been amended from time to time.
An Ola Electric spokesperson said the sanction is a strong recognition of the company’s manufacturing capabilities and its commitment to developing world-class EV technology in India. The incentive also highlights the company’s efforts in:
- Scaling domestic production
- Deepening localisation of components
- Driving innovation across the electric mobility value chain
The PLI-Auto Scheme, approved by the Union Cabinet on September 15, 2021, has a total outlay of ₹25,938 crore for five years (FY23–FY27). It is designed to:
- Strengthen domestic production of Advanced Automotive Technology (AAT) products, covering electric vehicles and their key components.
- Reduce import dependence
- Strengthen local supply chains
- Generate employment opportunities
Recent Company Developments
Ola Electric also provided an update on promoter shareholding. Last week, the company completed a limited monetisation of a portion of founder Bhavish Agarwal’s personal shares to fully repay a promoter-level loan of around ₹260 crore.
- All 3.93% shares previously pledged have now been released
- Promoter pledge in the company reduced to zero
- Promoter group continues to hold more than 34.5% stake
- No dilution of control; founder’s long-term conviction remains unchanged
The company clarified that this monetisation was conducted entirely at the promoter level, executed in tranches, and within a time-bound structure.
Summary
Ola Electric’s share price saw a sharp intraday rise of over 5% after the ₹366.78 crore PLI-Auto sanction. While the stock has gained in recent sessions, it continues to trade significantly below its 52-week high, reflecting persistent volatility. The sanctioned incentive highlights the company’s manufacturing strength and its role in advancing India’s EV ecosystem. Meanwhile, promoter shareholding updates demonstrate stability at the ownership level without dilution.
Source: Livemint
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