Ola Electric denies receiving orders to shut over 100 Maharashtra showrooms

Ola Electric Mobility Ltd on Friday denied knowledge of any directive ordering the immediate shutdown of over 100 of its showrooms in Maharashtra, asserting that it had already disclosed relevant information to stock exchanges and that there is no material impact on the company.

"We are not aware of any such negotiations/events regarding a notice from the authorities ordering immediate closure of over 100 showrooms in Maharashtra," Ola Electric said in a filing to the NSE.

The company added that it had previously disclosed, on March 21, 2025, receipt of notices from four states related to trade certificates for certain stores.

The clarification comes after CNBC-TV18 reported that the Maharashtra Transport Department had found 107 of 131 Ola Electric showrooms operating without the mandatory trade certificates, issuing 104 show cause notices and ordering the closure of non-compliant outlets. As of now, 43 stores have been shut and 214 vehicles seized, according to the report.

Ola Electric also said that it is not aware of any undisclosed information that could explain recent movements in its share price. The company maintained that all material events and disclosures have been made in compliance with SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

"There is no material impact of this article on the company," Ola Electric said.

Under Indian law, a valid trade certificate is mandatory for dealerships to conduct sales or even offer vehicles for test drives.

Ola Electric shares were trading at ₹50.26 on the National Stock Exchange at 12:47 pm, down 4% from the previous close.