Mobikwik
Shares of One MobiKwik Systems, the parent company of digital payments provider MobiKwik, sank as much as 15% in early trade on Monday, hitting a fresh 52-week low of Rs 231.05. This is due to the expiration of a three-month lock-in period on nearly 46 lakh shares, or 6% of the company’s outstanding stock, making them eligible for trade.
However, the stock has been suffering since its listing in December, when it had debuted at Rs 442.25, a 58% premium over its IPO price of Rs 279. The stock has fallen 61% from its post-listing high of nearly Rs 700, and has now dipped below the IPO price. The shares have fallen 13% in the last week alone, and 24% in the past month.
Ola Electric
Ola Electric Mobility, which was already struggling on the bourses this year, fell 6.69% to a record low of Rs 46.94 on the BSE on Monday, as a wholly-owned subsidiary faced an insolvency petition.
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Rosmerta Digital, an operational creditor of Ola, filed a plea before the National Company Law Tribunal (NCLT), Bengaluru Bench, alleging payment defaults for services rendered. The firm has sought the initiation of a Corporate Insolvency Resolution Process (CIRP) against Ola Electric Technologies.
This year has been particularly tough for the Bhavish Aggarwal-led company on the stock market. The stock has fallen 45% since January, and plummeted 60% on the BSE in the past six months.
ETtechSource: Google
Aggarwal said on March 12 that Ola Electric Mobility Ltd expects its automotive business to turn Ebitda (earnings before interest, taxes, depreciation, and amortisation) positive in the quarter starting April 1, attributing this to savings from cost-cutting initiatives.
Muted market
We reported in February that in an overall laggard market, stock prices of nearly half of the 15 new-age companies that have listed on the bourses since 2021 are trading below the price at which they went public. Paytm, Delhivery and Mamaearth-parent Honasa Consumer have been the top losers.
This is significant because more than 20 new-age companies are in various stages of their plans to go public this year, including Urban Company, PhysicsWallah, Shiprocket, Meesho, Pine Labs, Shadowfax and Groww. ET reported that the slump in the overall stock market could make the window for these companies to go public shorter.
IT sector’s spiral
Due to Donald Trump’s tariff wars with economies across the globe, and subsequent recession fears, Indian IT stocks have taken a hit. The companies, which derive a major chunk of their revenue from the US, have seen their stocks falling significantly since Trump began his second term at the beginning of the year.
