Ather Energy Raises ₹1,300 Cr via Qualified Institutional Placement
Electric scooter manufacturer Ather Energy has raised approximately ₹1,300 crore through a qualified institutional placement (QIP). The funds are slated for use in research and development, marketing, and debt repayment.
Electric scooter maker Ather Energy has secured approximately ₹1,300 crore (around $155 million) through a qualified institutional placement (QIP). The company allotted 1.08 crore equity shares to investors at an issue price of ₹1,202 per share.
The fundraising is part of Ather's previously announced plan to raise up to ₹2,500 crore. The proceeds will primarily be used to repay or prepay borrowings, invest in research and development, and support marketing initiatives.
Key investors included HDFC Mutual Fund and the Abu Dhabi Investment Authority. The company plans to raise an additional ₹1,200 crore through a preferential issue, involving promoter Hero MotoCorp and the India-Japan Fund.
This capital raise occurs amidst intensifying competition in India's electric two-wheeler market. Ather ranked as the third-largest electric scooter player in India in June, behind TVS Motor and Bajaj Auto, despite a slight month-on-month decrease in market share.