Ola Electric has approved an investment of Rs 2,000 crore in two of its wholly owned subsidiaries as the electric vehicle maker looks to strengthen its EV and battery operations.

Its board approved a Rs 1,500 crore investment in Ola Electric Technologies Private Limited (OET) and a Rs 500 crore investment in Ola Cell Technologies Private Limited (OCT), according to the company's stock exchange filing.

The investments will be made through compulsory convertible preference shares of Rs 10 each issued at par and are expected to be completed on or before 14 May 2027.

OET, which manufactures and supplies electric vehicles and provides services across the EV value chain, reported turnover of Rs 4,717.48 crore in FY25, down from Rs 5,149.02 crore in FY24.

OCT, which manufactures, processes, assembles, exports, sells, repairs and distributes batteries and cells, posted turnover of Rs 73 crore in FY25, compared with Rs 3.97 crore in FY24.

The company said the fund infusion into both subsidiaries is intended to support their business requirements. Ola Electric added that both entities will remain wholly owned subsidiaries after the investment, with the parent company continuing to maintain 100% control, directly or indirectly.

The filing also stated that the transaction is being conducted on an arm's-length basis and that neither the promoter nor the promoter group has any interest in the transaction, apart from the disclosed related-party relationship arising from Ola Electric's ownership of the subsidiaries.