Ola Electric, the electric vehicles (EV) arm of cab aggregator Ola, on Monday announced that it had raised $100 million (Rs 744.5 crore) in long-term debt from the Bank of Baroda. The company claimed this to be the largest long-term debt financing agreement for the Indian EV industry. This 10-year debt will be used in funding and financial closure of Phase-I of the Ol a Futurefactory, Ola’s global manufacturing hub for its electric two-wheelers.

Last December, Ola had said it would invest Rs 2,400 crore in setting up Phase-I of the factory. Earlier this month, Ola CEO Bhavish Aggarwal had announced on Twitter that the factory’s Phase-I was nearing completion and that the company’s electric scooters would soon hit the market.

“Today’s agreement for long-term debt financing between Ola and Bank of Baroda signals the confidence of the institutional lenders in our plans to build the world’s largest two-wheeler factory in record time.

We are committed to accelerating the transition to sustainable mobility and manufacture made in India EVs for the world and we are happy that Bank of Baroda has joined us in our journey,” said Aggarwal.