Hero Motocorp And GIC To Invest Rs 900 Crore In Ather Energy

Hero MotoCorp and Singapore-based investment firm GIC are teaming up to invest a significant sum of Rs 900 crore in Ather Energy. The brand is set to receive this substantial investment through a rights issue and use the funds for various purposes. These include launching new products, expanding their charging infrastructure, and growing their retail network. Reportedly, Ather is also considering the possibility of going public with an IPO in 2024.

Hero MotoCorp will contribute Rs 550 crore

Out of the total investment, Hero MotoCorp will contribute Rs 550 crore, while the rest will come from GIC. The latest investment by Hero will increase the company's ownership stake in Ather, which currently stands at 33.1 per cent. The exact percentage of this increase will only be determined after the rights issue is finalised.

Also Read: Two-Wheeler Sales August 2023: Ather Energy Sells 8,062 Electric Scooters

Commenting on the investment, Tarun Mehta, CEO and co-founder, Ather Energy, said, “There was strong support for the rights issue and we are very happy to see the confidence exhibited by shareholders. The last few years have demonstrated just how quick the EV transition in India can be and how it will be led by 2 wheelers. We have always believed that this transition will be led by world-class technology and products designed and built in India and this year will be no different with our largest outlay on research and development yet, planned in 2023-24. This round will allow us to expand our product portfolio while expanding our footprint.”

Also Read: Ather Begins Dispatches Of 450S Electric Scooter

The company recently updated its 450-scooter lineup with the introduction of the refreshed 450 Series

Moreover, Ather Energy has been on a growth course in fiscal year 2023. Its revenue surged to Rs 1,783 crore, a significant 4.4 times increase compared to the previous fiscal year when it was Rs 408 crore. Additionally, they expanded their retail presence fourfold, going from 30 stores to 130 stores in a year. Currently, Ather Energy has a retail network across more than 100 cities and operates the public fast-charging network for electric two-wheelers, boasting over 1,500 Ather Grids.

Also Read: Ather 450S Launched In Two Variants; Refreshed 450X Gets Smaller 2.9 kWh Battery

Ather Energy has been on a growth course in fiscal year 2023

The company also updated its 450-scooter lineup with the introduction of the refreshed 450 Series. This lineup includes the 450S with a 2.9 kWh battery pack and the 450X with two battery options, 2.9 kWh and 3.7 kWh. The 450S is available in two variants, Core and Pro, with prices starting at Rs 1.30 lakh. Meanwhile, the 450X, with a smaller 2.9 kWh battery, comes in Core and Pro versions, priced at Rs 1.38 lakh and Rs 1.54 lakh, respectively.