Ather Energy, the pioneering electric vehicle manufacturer, announced that it successfully raised Rs 900 crore through a rights issue, with substantial investments from existing shareholders Hero MotoCorp and global investment firm GIC. The capital infusion marks a significant milestone for the Indian electric two-wheeler industry and reflects the growing enthusiasm for sustainable mobility solutions.
The funds raised will be instrumental in propelling Ather Energy’s expansion plans. The company has outlined a clear roadmap to utilize the capital for several key initiatives, including the launch of new products, further development of their charging infrastructure, and expansion of their retail network.
“Last few years have demonstrated just how quick the EV transition in India can be and how it will be led by 2 wheelers. This round will allow us to expand our product portfolio while expanding our footprint,” said Tarun Mehta, CEO and Co-founder of Ather Energy, underlining the importance of this funding round.
Ather Energy has been on a remarkable growth trajectory, with FY23 proving to be a standout year. The company reported a staggering 4.4-fold increase in revenue, soaring from Rs 408 crore in FY22 to Rs 1,783 crore in FY23.
Moreover, the electric vehicle manufacturer has significantly expanded its retail presence, with the number of stores multiplying by four, reaching 130 from just 30 the previous year. Ather Energy now boasts over 200 retail touchpoints across more than 100 cities and a comprehensive public fast-charging network, boasting over 1,500 Ather Grids.
In recent times, Ather Energy has made strategic moves to diversify its product portfolio, offering customers more choice. This includes the introduction of 2.9 kWh and 3.7 kWh battery options for its flagship 450X model, along with an entry-level product, the 450S, aimed at capturing a broader segment of the two-wheeler market.
Founded in 2013 by IIT Madras alumni Tarun Mehta and Swapnil Jain, Ather Energy enjoys the support of several prominent investors, including Hero MotoCorp, GIC, NIIF, Sachin Bansal, and Tiger Global. The company currently operates in over 100 cities, including Bengaluru, Delhi, Chennai, Hyderabad, Pune, Jaipur, Kochi, Ahmedabad, Mumbai, Mysore, and Kolkata.
With this substantial capital injection and its continued commitment to innovation and expansion, Ather Energy is poised to play a pivotal role in driving India’s electric mobility revolution.