In December 2023, Hero Motocorp increased its stake in Ather Energy and became the largest investor with a 39.7% stake.
“/>In December 2023, Hero Motocorp increased its stake in Ather Energy and became the largest investor with a 39.7% stake.
New Delhi: Bengaluru-based electric two-wheeler manufacturing company Ather Energy is in talks with major banks for a possible initial public offering (IPO) in India, international news agency Bloomberg reported.
The brand is expected to be valued at $2 billion and is expected to raise $400 million (over INR 3300 Crore) from the Indian stock market. However, no final decision has been made yet. Bloomberg reported, citing people close to the matter, that Ather Energy could delay its listing and details such as the valuation and size of the IPO could change.
Ather declined to comment on the matter.
Recently, Ather Energy replaced its chief financial officer Deepak Jain with Sohil Parekh. Ather Energy is financially backed by key players like Hero Motocorp, the co-founder of Flipkart, Tiger Global Management and others. In December 2023, Hero Motocorp increased its stake in Ather Energy and became the largest investor with a 39.7% stake.
The electric scooter company has raised INR 900 Crore from Hero MotoCorp and GIC in September 2023. Previously, Hero led a $128 million fundraising campaign in January 2022. Despite mounting losses, Ather Energy's operating revenue grew 4.3 times to INR 1,784 crore in FY23. In October 2023, the company also expanded internationally with a store in Kathmandu, Nepal.
Ather Energy is gearing up to compete with its rival Ola Electric, which filed for a major IPO worth at least INR 55 billion ($661.9 million) in December 2023. Ola Electric, backed by SoftBank and Temasek, is valued at $5.4 billion, marking one of the most significant stake sales by an electric vehicle (EV) maker in India.
The brand's portfolio currently includes three products: Ather 450, 450X and the most recent launch, 450 Apex. It is also preparing to launch a family scooter called Rizta.
- Published on February 17, 2024 at 11:10 AM IST
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