Electric scooter maker Ather Energy has set the price band for its initial public offering (IPO) at Rs 304-321 per share. The IPO will open for subscription on April 28 and close on April 30.
The public issue includes a fresh equity raise of Rs 2,626 crore and an offer for sale (OFS) of 1.1 crore shares. Under the OFS, promoters Tarun Sanjay and Swapnil Babanla, along with other corporate shareholders, will sell part of their stakes.
Ather Energy plans to use the funds raised for capital expenses, including setting up a new electric two-wheeler factory in Maharashtra, repayment of debt, R&D investments, marketing, and general corporate purposes.
Ather Energy is a pure-play EV company that sells electric two-wheelers. The company also makes battery packs in-house using lithium-ion cells procured from suppliers and outsources the manufacturing of all other vehicle components, such as electronics and chassis.
Its electric two-wheeler portfolio comprises two product lines, the Ather 450 and the Ather Rizta, with seven variants. The Atherstack is in-house developed software, which provides features related to navigation, analytics, ride assistance, safety and productivity.
The company commands just about 11% market share in the electric two-wheeler market, as of December 2024. Given its premium positioning with plans to bridge key products, analysts expect the company to achieve a big leap in terms of growth
Launches like Rizta and a new scooter should materially expand the addressable market given that current volumes are constrained due to limited performance segment numbers in its flagship 450 series.
However, distribution too is skewed, where the South market comprises 48% of Ather experience centers, contributing 68% of the company’s volumes in FY24.
Critical factors that can impact the company’s plans and prospects include slow ramp-up and competition from large 2W OEM, and demand incentive scale-down.
According to the CRISIL Report, India is the largest global motorised two-wheeler market by volume, with 18.4 million units sold in FY24, of which 16% were exports. In the nine months ended December 2024, exports accounted for 17% of the overall two-wheeler sales in India.
Also Read: $1 million Bitcoin by 2035? Rich Dad Poor Dad author Robert Kiyosaki’s bold prediction draws mixed reactions from crypto experts
(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of the Economic Times)
The public issue includes a fresh equity raise of Rs 2,626 crore and an offer for sale (OFS) of 1.1 crore shares. Under the OFS, promoters Tarun Sanjay and Swapnil Babanla, along with other corporate shareholders, will sell part of their stakes.
Ather Energy plans to use the funds raised for capital expenses, including setting up a new electric two-wheeler factory in Maharashtra, repayment of debt, R&D investments, marketing, and general corporate purposes.
Ather Energy is a pure-play EV company that sells electric two-wheelers. The company also makes battery packs in-house using lithium-ion cells procured from suppliers and outsources the manufacturing of all other vehicle components, such as electronics and chassis.
Its electric two-wheeler portfolio comprises two product lines, the Ather 450 and the Ather Rizta, with seven variants. The Atherstack is in-house developed software, which provides features related to navigation, analytics, ride assistance, safety and productivity.
The company commands just about 11% market share in the electric two-wheeler market, as of December 2024. Given its premium positioning with plans to bridge key products, analysts expect the company to achieve a big leap in terms of growth
Launches like Rizta and a new scooter should materially expand the addressable market given that current volumes are constrained due to limited performance segment numbers in its flagship 450 series.
However, distribution too is skewed, where the South market comprises 48% of Ather experience centers, contributing 68% of the company’s volumes in FY24.
Critical factors that can impact the company’s plans and prospects include slow ramp-up and competition from large 2W OEM, and demand incentive scale-down.
According to the CRISIL Report, India is the largest global motorised two-wheeler market by volume, with 18.4 million units sold in FY24, of which 16% were exports. In the nine months ended December 2024, exports accounted for 17% of the overall two-wheeler sales in India.
Also Read: $1 million Bitcoin by 2035? Rich Dad Poor Dad author Robert Kiyosaki’s bold prediction draws mixed reactions from crypto experts
(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of the Economic Times)
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