In a significant move aimed at expanding its electric vehicle (EV) business and establishing India's first lithium-ion cell manufacturing facility, Ola Electric, the electric two-wheeler manufacturer, has secured a whopping Rs 3,200 crore (approximately $385 million) in a recent funding round.

This funding round, comprising both equity and debt, witnessed participation from prominent investors led by Temasek and the State Bank of India (SBI).

The company's strategic roadmap includes an accelerated growth plan, encompassing the expansion of its two-wheeler manufacturing capacity, a subsequent launch of electric motorcycles, and the introduction of electric cars.

Ola Electric will use the fund to fast-track the construction of its lithium-ion cell gigafactory, which will commence with an initial capacity of 5 gigawatt-hours in its first phase. The facility's capacity is projected to be further expanded in subsequent phases, ultimately reaching a substantial 100-gigawatt hour at full capacity.

This recent financing round follows a series of successful raises for the EV startup, with significant investments from marquee backers such as Temasek, Blue Investments, DIG Investments, Tiger Global, Tekne Private Ventures, and Ashutosh Vinayak Joshi. These investors collectively poured in $300 million into the Bangalore-based company earlier this month, as reported by Entrackr.

Collectively, Ola Electric has now secured more than $1 billion in funding through both equity and debt. According to estimates by TheKredible, the company's valuation post-allotment stands at approximately Rs 44,410 crore or $5.4 billion. This valuation marks a significant surge from its previous valuation of $5 billion in January of the preceding year.