Shares of Ola Electrical surged 20% on their market debut on Friday, valuing the Indian electrical automobile startup at round $4.8 billion.

Ola Electrical priced its shares at 76 rupees ($0.91) elevating the corporate greater than $730 million through the preliminary public providing in Mumbai. It’s the greatest itemizing in India this 12 months, in keeping with Reuters.

By 3:52 p.m. native time, shares have been buying and selling round 91.20 rupees.

The primary-day surge comes as traders wager the corporate is poised to grow to be a key participant in India’s electrical automobile market, at a time when the federal government is making strikes to bolster the business.

Ola Electrical makes electrical scooters and solely shipped its first product two-and-a-half years in the past.

Two-wheelers are the most well-liked technique of transport in India. By 2030, electrical two-wheelers specifically are anticipated to account for 60% to 70% of all new scooter gross sales in India, in keeping with McKinsey & Firm information.

That is the pattern Ola Electrical is making an attempt to faucet into because it prepares to ship its first electrical motorcycle product within the second half of 2025.

The startup, based by high-profile entrepreneur Bhavish Aggarwal, is positioning itself as an organization that may do every part from design to manufacturing and batteries, very like Tesla does.

Presently, although, there doesn’t seem like plans for the corporate to develop into automobiles.

Ola Electrical has some high-profile traders together with SoftBank and Singapore’s funding fund Temasek.

The corporate stated it plans to make use of the IPO proceeds to pay down money owed, for extra analysis and growth and to help the enlargement of its gigafactory battery plant.

Whereas the corporate’s income rose 90% year-on-year within the 12 months ended March 31, its losses widened. The corporate is but to show a revenue.

Aggarwal can also be the co-founder of Ola Cabs, a ride-hailing firm in India.