Ola Electric settles dues with Rosmerta Group, NCLT pleas withdrawn

Ola Electric Technologies Private Limited, a subsidiary of Ola Electric Mobility Limited, has resolved its financial disputes with the Rosmerta Group, leading to the withdrawal of insolvency petitions previously filed against it, the company said in a regulatory filing on Tuesday.

The Rosmerta Group had earlier filed insolvency petitions against Ola Electric Technologies, citing unpaid dues. Rosmerta Digital Services claimed outstanding dues of just over ₹22 crore (approximately $2.5 million), while Rosmerta Safety Systems sought nearly ₹2.5 crore in payments, as reported by Business Standard earlier.

On Tuesday, Ola Electric announced that all outstanding dues have been amicably settled, resulting in Rosmerta filing for the withdrawal of the insolvency petitions from the National Company Law Tribunal (NCLT) in Bengaluru. The company emphasised its commitment to maintaining strong business relationships and ensuring timely resolution of any commercial issues.

This resolution comes amid Ola Electric's efforts to optimise its operations. Ola Electric had also said a mismatch between company-provided sales data and government registration data in February was due to negotiations with its vehicle registration vendors.

The company said the backlog that arose from the data mismatch has been cleared, but the government has sought information on the matter. “Our sales remain strong, and the temporary backlog in February was due to ongoing negotiations with our vendors responsible for vehicle registrations. This backlog is being rapidly cleared, with daily registrations exceeding 50 per cent of our three-month daily sales average. About 40 per cent of the February backlog has already been cleared, and the remaining will be fully resolved by the end of March 2025,” the company said.

Ola Electric Mobility Limited's stock closed at ₹55.72 per share on March 24. Ola Electric's shares have recovered slightly from a record low since it informed investors of the insolvency petition, but are still down about 27 per cent since listing last August.