23 April 2024 — Renowned investor Nikhil Kamath has acquired a substantial stake in Ather Energy, a leading electric two-wheeler manufacturer, from co-founder Sachin Bansal, signaling a pivotal moment in the company’s fundraising journey.
The company is in advanced talks to secure substantial funding through primary and secondary share sales, with plans to raise $75-90 million from existing investors, marking a notable surge in investor interest in the mobility sector.
Nikhil Kamath’s investment in Ather Energy underscores his confidence in the venture, potentially valuing the company between $850 million to $1 billion, showcasing a strong vote of confidence from industry stalwarts.
The infusion of funds comes amid a resurgence in demand for electric scooters and ride-hailing services post-pandemic, with players like Rapido eyeing substantial funding, and Ola Electric gearing up for an IPO, reflecting a robust investor appetite in the mobility segment.
Despite price escalations due to reduced government subsidies, the electric two-wheeler market has witnessed a 30% increase in sales, with Ather Energy maintaining a significant market share alongside competitors like Ola Electric, Bajaj, and TVS Motors.
Conclusion:
Ather Energy’s strategic fundraising efforts, coupled with heightened investor interest and market expansion, position the company favorably in the evolving landscape of electric mobility and ride-hailing services, paving the way for sustained growth and innovation in the sector.
Source: Link