Ather Energy IPO: Ola Rival Ather Files for ₹4,500 Crore IPO Including ₹3,100 Crore Fresh Issue

Latest updates : Ahead of its much-anticipated IPO, Ather Energy reported a significant increase in losses for FY24. The electric two-wheeler manufacturer’s losses widened by 22%, reaching ₹1,060 crore, while its operating revenue fell to ₹1,753.8 crore, down 1.5% year-on-year. The financial dip is largely attributed to a reduction in government subsidies, which raised the retail prices of its electric vehicles. Despite these setbacks, Ather plans to raise over ₹3,100 crore through its IPO to fund expansions and new product development.

Ather Energy, the Indian electric vehicle (EV) manufacturer known for its cutting-edge electric scooters, has officially filed its draft red herring prospectus (DRHP) with the Securities and Exchange Board of India (SEBI) for its upcoming ₹4,500 crore IPO. According to a Reuters report citing sources, Ather Energy IPO will include the sale of new shares worth ₹3,100 crore.

Additionally, the IPO will feature an offer for sale (OFS) of up to 2.2 crore shares by Ather’s investors and promoters. The company’s founders, Tarun Sanjay Mehta and Swapnil Babanlal Jain, are set to sell 1 million equity shares. Other key selling shareholders include Caladium Investment Pte Ltd, the National Investment and Infrastructure Fund II, and 3State Ventures Pte. Ltd.

Backed by Hero MotoCorp, a prominent Indian bike manufacturer, Ather Energy has positioned itself as a leading player in the EV market. The company competes with Ola Electric, another major player that recently went public. The Ather Energy IPO is expected to generate substantial interest as the company aims to strengthen its market position.

Ather Energy’s IPO and Use of Funds

The funds raised through the Ather Energy IPO, particularly the ₹3,100 crore fresh issue, will primarily be used to boost the company’s production capabilities. A significant portion of the capital will go towards setting up a new electric two-wheeler manufacturing facility in Maharashtra, India. In addition to expanding manufacturing, Ather Energy plans to allocate funds to ongoing research and development (R&D) projects to enhance its product offerings and maintain a competitive edge in the market.

Ather Energy’s Competitive Edge in the EV Market

Ather Energy has made a name for itself in India’s electric two-wheeler space, with its flagship product, the Ather 450X, earning praise for its smart features and robust performance. As Ather Energy IPO prepares to launch, the company is well-positioned to compete with Ola Electric and other established players in the market.

The funds raised through the Ather IPO will allow the company to scale up its operations, improve its infrastructure, and invest in next-generation electric vehicles that meet the growing demand for sustainable transportation in India.

Conclusion: Ather Energy IPO Set to Boost India’s EV Market

The filing of Ather Energy’s ₹4,500 crore IPO, which includes a ₹3,100 crore fresh issue, marks a significant milestone for the company. The Ather IPO is expected to provide the necessary capital to fuel expansion, enhance its product offerings, and continue to innovate in the EV space. With strong backing from investors like Hero MotoCorp and a solid track record of growth, Ather Energy is poised to make a major impact on Dalal Street and the Indian EV market.

Visit for more detailed analysis of Ather energy.