Shares of Ola Electric Mobility fell more than 4 per cent on Monday and slipped below the Rs 100 mark for the first time since its listing last month.
During the intra-day trade, the Bhavish Aggarwal-run Ola Electric shares nosedived to Rs 97.84 apiece on the lower end and Rs 102.38 per share on the higher end.
At 1:36 p.m., Ola Electric shares were at Rs 99.10, down 3 per cent. With this decline, the stock has now dropped about 36 per cent from its peak of Rs 157.4.
Share of the electric two-wheeler maker has declined for ninth out of the last 11 trading sessions.
This recent slump highlights a troubling trend for the company, which once experienced a significant surge following its IPO. Ola's shares had gained over 107 per cent within two weeks from its listing before entering a consolidation phase.
According to recent reports, "Ola Electric's flagship S1 series EV scooter has become a nightmare for hundreds of customers who are consistently facing issues like malfunctioning hardware and glitching software and spare parts are hard to come by, resulting in inordinate delays."
Ola Electric is based on a direct-to-customer model. The company owns and operates all 500 plus experience centres and 430 service centres across the country.
Last Friday, the company announced to double its company-owned service network to 1,000 centres by the end of year.
According to Rajesh Sinha from financial services firm Bonanza, after its initial public offering (IPO), the stock of Ola Electric Mobility has shown volatility due to challenges the company faces as well as rising competition, concerns of a potential EV slowdown and service-related issues.
(With inputs from IANS)
