Electric vehicle (EV) manufacturer, Ola Electric Mobility, has denied changing the price of its Ola S1 X 2 kilowatt-hour model amidst ongoing regulatory scrutiny. The company’s shares fell 3% on Monday in the wake of media reports about the investigation.

What Happened: In a letter to BSE Limited dated October 15, Ola Electric said that it has responded to an inquiry from the Automotive Research Association of India (ARAI) regarding the alleged discounted sale of the Ola S1 X 2KWh at ₹49,999.

“We have not changed the price of Ola S1 X 2KWh, and we are running a very limited-time festive campaign for a brief period where we are giving a general discount of ₹5,000 to every customer and a higher discount of ₹25,000 to only a few customers and that too only with very limited inventories,” the company clarified.

Ola Electric provided an invoice from October 6 and a screenshot of the app as evidence that the price of the Ola S1 X 2KWh remained unchanged and the discount was only applicable to a limited inventory.

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The company has not received any further communication from ARAI since providing the requested customer invoice on October 9.

Ola Electric also stated that it is not privy to any undisclosed information that could explain the recent movement in its stock price. The company assured that all material events and information have been duly disclosed to the stock exchanges as per Securities and Exchange Board of India regulations.

Earlier today, the company reported a jump in its market shares as it kicked off the festive season with strong momentum. By October 14, Ola Electric had sold over 15,672 vehicles, securing a 34% market share, as per the latest data from the Vahan portal.

Price Action: Ola Electric’s share price was up 2.70% to trade at ₹89.80 on Tuesday afternoon.

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