Ola Electric shares drop 9% in 3 days. What’s spooking investors?

The shares of Ola Electric Mobility slipped over 2% on Tuesday to extend a 9% fall over the past three consecutive sessions, as media reports around vendors filing fresh insolvency pleas against its subsidiary over alleged dues worth Rs 40 crore spooked investors.

The shares of the company dropped to Rs 41.41 per share on the NSE on Tuesday morning, the lowest level seen by the stock this month so far. The recent sharp drop in Ola Electric’s share price follows multiple media reports that two suppliers of its operating arm approached the National Company Law Tribunal (NCLT), seeking insolvency proceedings over alleged unpaid dues exceeding Rs 40 crore.

Ola Electric subsidiary faces insolvency pleas

Sterling E-Mobility Solutions, the EV components arm of Sterling Tools, and Anevolve Mando eMobility, part of the Anand Group, have sought the initiation of the Corporate Insolvency Resolution Process (CIRP) against the EV scooter-maker’s wholly owned subsidiary, Ola Electric Technologies.

The Economic Times couldn’t independently verify the reports.

Last year, Ola Electric’s vendor, Rosmerta Digital Services, filed an insolvency petition against the subsidiary, which is responsible for manufacturing the company’s electric scooters at its factory in Tamil Nadu. The company had denied the claims in an exchange filing.

Also read: Ola Electric’s vendor moves NCLT over unpaid dues, seeks insolvency action

Ola Electric Q1 registrations

Earlier this month, Ola Electric said it registered 43,719 vehicles in the first quarter of FY27, nearly doubling from 22,252 vehicles in the previous quarter. Citing VAHAN data, Ola Electric said that the quarter concluded with 16,144 registrations in June 2026, reflecting sustained business momentum and the company’s strongest monthly performance in recent quarters.

“Q1 FY27 marks a significant milestone in our growth journey, with registrations doubling sequentially and June registering 16,144 vehicles – our strongest monthly performance in recent quarters. The sustained momentum reflects the success of our operational improvements, strong product portfolio and continued customer preference for Ola Electric. We remain focused on accelerating EV adoption through technology leadership, manufacturing scale and delivering a differentiated ownership experience,” said a spokesperson for Ola Electric.Also read: Ola Electric’s Q1 FY27 registrations nearly double sequentially

The EV scooter-maker further said that India’s electric two-wheeler market continues to witness strong structural growth, driven by increasing consumer preference for electric mobility, favourable economics compared to ICE vehicles, and growing awareness around energy security and sustainability. As EV adoption accelerates across the country, Ola Electric said that it remains well-positioned to lead the transition through its vertically integrated technology and manufacturing platform. “The company continues to expand EV penetration through innovative products, advanced battery technology, manufacturing scale and a robust direct-to-customer distribution network across India,” it added.

Ola Electric share price

Ola Electric shares have fallen over 4% in one week and around 7% in one month. The stock has, however, gained around 12% in 2026 so far and nearly 1% in one year.

The company currently has a market capitalisation of more than Rs 19,462 crore.

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