Eternal has 0.9% of equity change hands in 51 bunched trades

Eternal has 0.9% of equity change hands in 51 bunched trades

Ola Electric has secured Production Linked Incentive (PLI) certification for its Gen 3 scooter portfolio, a move expected to significantly enhance profitability from Q2 FY26. The certification, granted by the Automotive Research Association of India (ARAI), covers all seven Ola S1 Gen 3 scooter models. This achievement makes Ola Electric eligible for incentives up to 18% of the determined sales value (DSV) until 2028, strengthening their cost structure and margins [1].

The certification was announced on Tuesday, July 02, 2025, and follows the company's strategic reallocation of funds during its first Annual General Meeting. The reallocation includes Rs 1,049 crore for R&D investment, Rs 901 crore for organic growth initiatives, Rs 395 crore for debt repayment/prepayment, and Rs 248 crore for general corporate purposes [1].

The PLI certification is expected to directly impact Ola Electric’s profitability, as stated by a spokesperson, "Securing PLI certification for our Gen 3 scooters, which form the bulk of our sales, is a critical step towards profitability. This will directly strengthen our cost structure and margins, enabling us to deliver sustainable growth" [1].

Shares of Ola Electric Mobility rose as much as 1.8% to Rs 50.38 on BSE after the certification announcement. The company expects the certification to significantly enhance profitability from Q2 FY26 onwards [1].

References:
[1] https://economictimes.indiatimes.com/industry/renewables/ola-electric-bags-pli-certification-for-its-gen-3-scooter-portfolio/articleshow/123516575.cms