Ola Electric shares defy S&P downgrade of promoter, surge 8%

• Ola Electric shares surged 8% on Thursday, December 11, despite S&P Global downgrading its promoter ANI Technologies.
• S&P Global lowered ANI Technologies' rating to 'CCC-' with a negative outlook, citing continued cash burn and weakening liquidity.
• The 'CCC-' rating suggests a high likelihood of default for ANI Technologies, which holds a 3.6% stake in Ola Electric.
• ANI Technologies faces eroding cash buffers due to Ola Cabs' losses and a probable covenant breach by March 2026.
• Ola Electric's market share in the e-two wheeler segment dropped significantly to 6.7% in November from 25% in January.

Why It Matters: Ola Electric's promoter faces severe financial distress, risking default and market volatility.