Ola Electric Shares Drop Over 6% as SoftBank Cuts Stake to 15.68%

September 05, 2025 – Shares of Ola Electric Mobility extended their losses as they came under pressure for the second straight session. The shares went down by 6.45% to an intraday low of ₹60.34 so far on Friday, September 5. The cumulative loss over the last two sessions totals over 12%. The decline in the shares came after Japan’s SoftBank reduced its holding in the company.

SoftBank Stake Sale

SoftBank, a Japanese investor who had 17.83% of Ola Electric’s stake (through open market transactions conducted between July 15 and September 2, 2025), reduced its stake to 15.68%. The investor offloaded almost 95 million shares of the company, which represents about 2.15% of the company’s paid-up capital. The offloading was done via the SVF II Ostrich (DE) LLC arm. However, despite the cut, SoftBank remains the second-largest shareholder of the company, second to the founder and chairman Bhavish Aggarwal, who holds a 30.02% stake as of the June quarter.

Q1 Earnings Impact

While the decrease in the share price was fueled by SoftBank’s exit, investors were already cautious as the company reported a consolidated net loss of ₹428 crore in Q1FY26. The finances were narrower than ₹870 crore in Q4FY25 but wider than the ₹347 crore loss in Q1FY25. The revenue of the company stood at ₹828 crore, marking a steep 49.6% year-on-year decline from ₹1,644 crore.

Market Snapshot

As of September 05, 2025, 11:51 AM, shares of Ola Electric were trading in the red at ₹60.17, down by 4.33, marking a 6.71% loss from the previous close of ₹64.50. So far, the shares saw heavy activity with their traded volume at 2,963.98 lakh shares, traded value at ₹1,831.15 crore, and the total market cap at ₹26,517.91. However, despite the extended decline, the shares stayed above their 52-week low of ₹39.60, even though far from the high of ₹123.90.

Outlook

While the company has been facing near-term weakness in the stock market, Ola Electric has shown resilience over recent months. It has gained about 27% in the last three months and 9% over six months. However, the recent stake sale by SoftBank has weighed on sentiment, keeping the stock well below its 52-week high. As the stock recovers from short-term losses and regains its momentum, investors should keep an eye on institutional activity and delivery volumes, as they could signal shifts in long-term confidence despite short-term volatility.

REF: https://www.nseindia.com/get-quotes/equity?symbol=OLAELEC

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