SoftBank Group has trimmed its stake in electric scooter maker Ola Electric by 2.15%, reducing its shareholding from 17.83% to 15.68%, according to a regulatory filing disclosed on September 4, 2025. The shares were offloaded over multiple transactions conducted between July 15 and September 2, involving approximately 94.9 million shares through its subsidiary, SVF II Ostrich (DE) LLC. Reuters
Despite this partial divestment, SoftBank remains Ola Electric’s second-largest shareholder, behind founder Bhavish Aggarwal, who holds about 30.02%.
The announcement elicited a sharp reaction in the equity market. Ola Electric’s stock slid around 6%–7%, dipping to intraday lows between ₹60–₹61 on the NSE and BSE during the first trading session following the news. The cumulative impact extended to a 12% fall over two sessions.
Why It Matters
- Investor Confidence Tested
A share reduction by a major backer like SoftBank can raise questions about near-term sentiment, even when the firm retains significant ownership. - Cautions Amid PLI Optimism
The investor’s exit comes just as Ola secures approvals under the Production Linked Incentive (PLI) scheme for its Gen 3 S1 scooter line, a boost that had fueled fresh investor optimism. - Strategic Rebalancing, Not Exit
As this marks SoftBank’s first sale since Ola’s IPO in August 2024, the move appears to be a measured recalibration rather than an exit, possibly aligning its broader EV portfolio strategy. - Market Volatility Ahead
The stock sharp action underscores market sensitivity to promoter changes. How Ola balances production, demand, and policy incentives could shape investor reactions in the near term.
