Ola Electric has approved 199 crore rupees (US$23.3 million) in funding for its battery subsidiary, Ola Cell Technologies (OCT).

The company will acquire 19.9 crore compulsory convertible preference shares (CCPS) in OCT at 10 rupees (US$0.12) each, with the deal set to close by Apr. 30.

The funding will support OCT’s operations and convert 61.2 crore (US$7.2 million) in outstanding payables into 6.12 crore CCPS.

This funding comes after Ola Electric failed to meet targets under India’s 18.100 crore rupees (US$2.1 million) production-linked incentive (PLI) scheme for advanced chemistry cells.

Ola Electric is also injecting 3.5 crore rupees (US$410,000) into its charging infrastructure subsidiary, Ola Electric Charging (OEC), to acquire 35 lakh CCPS.

Recent Ola Electric developments