New Delhi: Bengaluru-based electric two-wheeler manufacturing company Ather Energy is in talks with major banks for a potential Initial Public Offering (IPO) in India, international news agency Bloomberg has reported.
The brand is expected to be valued at USD 2 billion, with an expectation of raising USD 400 million (Over INR 3300 crore) from the Indian share market. However no final decision has been made. Bloomberg reported citing people related to the matter that Ather Energy might delay the listing, details such as valuation and IPO size 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 supported by key players such as Hero Motocorp, Flipkart’s co-founder, Tiger Global Management, and others. In December 2023, Hero Motocorp increased its stake in Ather Energy, becoming the largest investor with a 39.7% stake.
The electric scooter company raised INR 900 crore in September 2023 from Hero MotoCorp and GIC. Before that, Hero led a USD 128 million fundraise in January 2022. Despite widening losses, Ather Energy’s revenue from operations grew 4.3 times to INR 1,784 crore in FY23. The company also expanded internationally with a store in Kathmandu, Nepal, in October 2023.
Ather Energy is gearing up for competition with its rival, Ola Electric, which filed for a significant IPO of at least INR 55 billion (USD 661.9 million) in December 2023. Ola Electric, backed by SoftBank and Temasek, is valued at USD 5.4 billion, marking it as one of India’s most substantial share sales by an electric vehicle (EV) maker.
The brand’s portfolio currently includes three products: Ather 450, 450X, and its recent launch, 450 Apex. Additionally, it is gearing up to introduce a family scooter named Rizta.
