IPO · Mobility & Logistics

Ather Energy launches ₹2,626 crore IPO

By Startup Enthusiast · 26 April 2025

What they do

Ather Energy makes electric scooters like the Ritza

It launched an IPO on 28 April 2025, raising ₹2,626 crore via fresh shares and an offer-for-sale

It is the second electric two-wheeler company to go public after Ola Electric

Ather Energy launched its initial public offering (IPO) on Monday, 28 April 2025.
The IPO includes a fresh issue of approximately ₹2,626 crore.
It also includes an offer-for-sale from promoters and existing shareholders.
As of Friday, 25 April 2025, the company raised ₹1,340 crore from anchor investors.
Anchor investors include Franklin Offshore, Abu Dhabi Investment Authority, Societe Generale, BNP Paribas, Morgan Stanley, SBI Mutual Fund, Invesco MF, ICICI Prudential Mutual Fund, Aditya Birla Sun Life, Helios Mutual Fund, Eastspring Investments, Prudential Hong Kong, Tocu Europe III SARL, Tata Investment Corporation, and Union Innovation & Opportunities.
Funds from the IPO will be used for a new manufacturing hub, research and development, ₹300 crore for marketing, and ₹40 crore for debt repayment.
Ather Energy is the second electric two-wheeler company to go public, after Ola Electric.

The company's adjusted gross margin improved from 9% in H2 FY2024 (six months to December 2023) to 19% in H2 FY2025 (six months to December 2024).
Its EBITDA loss margin narrowed from 34% in H2 FY2024 to 23% in H2 FY2025.
The new scooter model Ritza is driving sales volume growth.
Ather is expanding its retail store count, enabled by Ritza volume.
The company is transitioning from NMC (nickel-manganese-cobalt) batteries to cheaper LFP (lithium iron phosphate) batteries and shifting to a lower-cost EL Platform for scooters.

Ather Energy manufactures electric scooters.
Its current scooter model is the Ritza, which is driving sales volume growth.
The company is expanding its retail store count.
It is transitioning from NMC batteries to cheaper LFP batteries to reduce costs.
It is also shifting to a lower-cost EL Platform for its scooters.
The company's adjusted gross margin improved from 9% in H2 FY2024 to 19% in H2 FY2025.
Its EBITDA loss margin narrowed from 34% in H2 FY2024 to 23% in H2 FY2025.

Ather Energy plans to use IPO funds for a new manufacturing hub.
It will invest in research and development.
It will spend ₹300 crore on marketing.
It will repay ₹40 crore of debt.
The company is expanding its retail store count.
It is transitioning to cheaper LFP batteries and a lower-cost EL Platform.