BENGALURU -Ola Electric's IPO drew bids worth over $2 billion from institutions ahead of its opening for retail investors, with shares allocated to Nomura, Norges Bank and some Indian mutual funds, a source with direct knowledge said.

Indian Electric scooter maker Ola, backed by SoftBank, plans to raise $734 million in the country's biggest IPO this year. The quota for big institutions was set at $330 million and allocation was completed on Thursday.

SBI and HDFC Mutual Funds were allocated shares worth $30-$36 million each, while Nomura and Norges Bank were allocated around $24 million each, the source added.

Ola Electric and the investors named did not immediately respond to Reuters requests for comment.

The firm, founded by Bhavish Aggarwal, is selling shares in the range of 72-76 rupees and is targeting a valuation of $4 billion.

Bidding for retail investors and eligible employees opens on Friday and closes Tuesday.

  - Reuters