Ola Electric Clarifies Media Reports Regarding Supplier Disputes and Legal Proceedings
Ola Electric Mobility Limited has issued a clarification regarding media reports concerning disputes with two suppliers, confirming active legal processes aimed at resolving performance and warranty concerns.The Company addressed the coverage in mainstream media related to negotiations and events surrounding supplier issues. Ola Electric confirmed that it had raised warranty and performance-related concerns concerning certain parts provided by Anevolve Mando E-Mobility Private Limited and Sterling E-Mobility Solutions Private Limited, which remained unresolved.
In response to these issues, the Company initiated arbitration proceedings against both vendors. Furthermore, Ola Electric filed petitions under Section 9 of the Arbitration and Conciliation Act, 1996, before the Commercial Court in Bengaluru, seeking interim relief while the arbitral tribunals are being constituted.
The clarification noted that subsequent to the initiation of these arbitration proceedings, Anevolve Mando E-Mobility Private Limited and Sterling E-Mobility Solutions Private Limited filed petitions under Section 9 of the Insolvency and Bankruptcy Code, 2016, in relation to the same underlying transactions. Ola Electric stated it views the disputes as genuine pre-existing matters pending adjudication through arbitration. The Company is contesting these petitions and pursuing all necessary legal steps.
Regarding market movements, Ola Electric stated that it is not aware of any undisclosed information that could explain the trading movement of its equity shares. It also confirmed that the publication of the media report does not have any material impact on the business, operations, or financial position of the Company.
OLAELEC Stock Price Movement
Shares of Ola Electric Mobility Limited are tumbling as of 10:55 AM, shedding 0.45% in live trading after dipping by ₹0.19 to reach ₹42.21. This decline registers amid significant market interest, with nearly 14.85 million shares having been traded so far today.Disclaimer: Due care and diligence have been taken in compiling and presenting news and market-related content. However, errors or omissions may arise despite such efforts.
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