Ola Electric Shares Fall 4% Amid Insolvency Petition By Rosmerta Digital; Details – News18
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Ola Electric Mobility’s shares dropped 3.8% following the disclosure of an insolvency petition filed against its subsidiary, Ola Electric Technologies
Ola Electric Scooter. (File photo)
Ola Electric Shares: Shares of Ola Electric Mobility fell 3.8%, hitting an intraday low of Rs 48.61 on the BSE on Monday, March 17, after the company revealed that an insolvency petition had been filed against its wholly-owned subsidiary, Ola Electric Technologies, by M/s. Rosmerta Digital Services.
The petition was filed by Rosmerta Digital, an operational creditor of Ola Electric, before the National Company Law Tribunal (NCLT) in Bengaluru. The creditor has alleged payment defaults for services rendered and is seeking the initiation of a Corporate Insolvency Resolution Process (CIRP) against Ola Electric Technologies.
Ola Electric Mobility issued a statement to the stock exchanges, saying, “We wish to inform you that a petition has been filed under Section 9 of the Insolvency and Bankruptcy Code, 2016 (“IBC”) by M/s. Rosmerta Digital Services Limited, an Operational Creditor of Ola Electric Technologies Private Limited, a wholly owned subsidiary of Ola Electric Mobility Limited (“the Company”). The petition has been submitted before the National Company Law Tribunal – Bengaluru Bench (“NCLT, Bengaluru”), alleging default in payment for services rendered by the Operational Creditor and seeking initiation of the Corporate Insolvency Resolution Process (“CIRP”) against Ola Electric Technologies Private Limited.”
Ola Electric further stated that it has sought legal counsel and strongly disputes the allegations, adding that it will take all necessary actions to protect its interests and challenge the claims in the case.
Last month, the company had mentioned it was renegotiating agreements with partners, Rosmerta Digital Services Pvt Ltd and Shimnit India Pvt Ltd, to reduce costs and improve the efficiency of the registration process.
Ola Electric Share Price History
On Monday, Ola Electric’s stock opened at Rs 50 on the BSE, reaching an intraday high of Rs 50.16 and a low of Rs 48.61.
The Year-to-Date (YTD) change in Ola Electric shares is a decline of 41.39%, reflecting a significant drop over the year. In the past six months, the stock has fallen by 54.71%, while the three-month performance shows a 46.13% decline. Over the last month, the price has decreased by 21.34%.
