IPO · Mobility & Logistics

Ather Energy targets $2.4 billion valuation for IPO

By Startup Enthusiast · 13 January 2025

What they do

Ather Energy makes electric scooters and charging infrastructure

The company seeks a $2.4 billion valuation, 80%+ higher than its prior round, with an INR 3,100 crore IPO

Investors include Hero MotoCorp and founders Tarun Mehta and Swapnil Jain

Ather Energy has received an observation letter from SEBI on 23 Dec 2024.
The startup aims for a $2.4 billion target valuation in its initial public offering.
Ather will submit its final clarifications and revised DRHP by the end of January or early February.
The total IPO size is set at INR 3,100 Cr.
A revised DRHP submission is expected by end Jan or early Feb 2025.
Hero MotoCorp remains the largest shareholder with approximately 37% ownership.
Nikhil Kamath holds 5% ownership after buying Sachin Bansal's stake last year.
Binny Bansal is selling a portion of his investment via OFS.

Ather Energy manufactures electric two-wheelers and related products.
Key products include the Rizta e-scooter series and the 450 line ebikes.
The company also produces battery packs and charging stations.
Smart helmets are part of their product ecosystem.
They plan to use INR 750 Cr for research and development.
INR 927 Cr will fund a new facility in Maharashtra.
Sales data shows a recent decline in vehicle registrations.

Hero MotoCorp (existing) — Largest shareholder with ~37% stake; no OFS sale.
Nikhil Kamath (existing) — Holds 5% ownership; bought Sachin Bansal's stake for ~$40M.
Binny Bansal (seller) — Selling portion of investment via OFS.
GIC (existing) — Existing investor in Ather Energy.
Tiger Global (existing) — Existing investor in Ather Energy.
NIIF (existing) — Invested INR 600 Cr in Aug 2024 at $1.3B valuation.