Ola Electric e-scooters.
Credit: Reuters File Photo
India's markets regulator has sent a warning letter to Ola Electric for sharing information on social media before disclosing it to investors, adding to a long line of troubles for the electric two-wheeler maker.
The letter from the Securities and Exchange Board of India (SEBI), disclosed by Ola Electric late on Tuesday, said that the company had failed to disclose information of a planned store network expansion on time to its investors.
The news of the planned store openings was shared first on social media platform X by founder and Managing Director Bhavish Aggarwal and to investors about four hours later through the stock exchanges.
Publicly-listed companies are required to disclose any information first to investors through exchange filings and not more than 12 hours from the event taking place.
Ola Electric, which went public in August last year, opened 3,200 new stores and service centres last month to expand its reach and address rising complaints on its service standards.
Shares of Ola Electric were down about 1.6 per cent at 77.9 rupees. They had fallen as much as 5 per cent earlier in the day.