Ather Energy is launching its Initial Public Offering (IPO) through the book-building process, aiming to raise ₹2,980.76 crores. The issue includes a fresh issue of 8.18 crore equity shares worth ₹2,626.00 crore and an offer for sale of 1.11 crore shares totaling ₹354.76 crore. The IPO opened for subscription on April 28, 2025, and closes today on April 30, 2025. The allotment is likely to be finalised on May 2, 2025, and the shares are expected to list on BSE and NSE on May 6, 2025.
The price band for Ather Energy IPO is set between ₹304 and ₹321 per share. Retail investors need to apply for at least one lot, which consists of 46 shares, requiring a minimum investment of ₹13,984. However, to increase the chances of allotment in case of oversubscription, bidding at the cutoff price of around ₹14,766 is advised. For small non-institutional investors (sNII), the minimum is 14 lots, while for big non-institutional investors (bNII), it is 68 lots. The IPO is managed by leading firms such as Axis Capital, HSBC, JM Financial, and Nomura, with Link Intime as the registrar.
Industry Outlook
- India’s two-wheeler penetration increased from 106–108 per 1,000 people in FY19 to around 116–118 in FY24, driven by rising incomes, urbanisation, and heavy reliance on two-wheelers for daily commutes and delivery services. This growing demand creates a strong market base for Ather Energy’s electric scooters.
- With India ranking as the third most polluted country globally and 9 of the top 10 most polluted cities located here, the shift towards electric vehicles is vital. Government policies supporting EVs and strict emission norms are likely to favour players like Ather Energy focused on clean mobility.
- Consumers are becoming more conscious of fuel expenses due to rising prices. Ather Energy’s electric scooters offer a lower total cost of ownership, making them an attractive alternative for cost-sensitive buyers seeking long-term savings.
Ather Energy IPO Objectives
The company plans to allocate the net proceeds from the issuance to the following purposes:
- Funds will be used to build a new electric two-wheeler (E2W) manufacturing plant in Maharashtra to boost production capacity.
- A portion of the proceeds will help repay or prepay some of the company’s existing borrowings, improving financial stability.
- Investment will be directed towards research and development to enhance product innovation and technology.
- Part of the funds will support marketing activities to expand brand reach and attract more customers.
- The remaining funds will be used for general corporate purposes.
About Ather Energy Limited
Ather Energy Limited is a leading name in India’s electric two-wheeler (E2W) industry. Founded in 2013 by Tarun Mehta and Swapnil Jain, the company has built its reputation on innovation, quality, and a strong focus on technology. With a vertically integrated model, Ather designs, develops, and manufactures electric scooters, battery packs, charging infrastructure, and in-house software called Atherstack.
The company's flagship model, the Ather 450, introduced several firsts in the Indian market, including a touchscreen dashboard and cloud connectivity. In April 2024, Ather launched the Rizta line, designed for family use, featuring a spacious seat, 56 litres of storage, voice commands, and traction control.
Ather sold 1,09,577 electric two-wheelers in FY24, becoming the third-largest player in the segment. Products are manufactured at its Hosur facility, which has a production capacity of 4.2 lakh E2Ws annually. A new plant in Maharashtra aims to boost total production to 1.42 million units.
The brand operates through an asset-light retail model with 208 experience centres and 191 service centres across India, along with a presence in Nepal. With 48% of its workforce dedicated to R&D, the company holds hundreds of intellectual properties. Ather’s commitment to sustainability is reflected in its ESG strategy, which prioritises clean mobility, strong governance, and responsible innovation.
How To Check the Allotment Status of Ather Energy IPO?
Steps to check IPO allotment status on Angel One’s app:
- Log in to the Angel One app.
- Go to the IPO Section and then to IPO Orders.
- Select the individual IPO that you had applied for and check the allotment status.
- Angel One will notify you of your IPO allotment status via push notification and email.
How To Apply for the Ather Energy IPO Online?
- Log in to Your Angel One Account: Open the Angel One app or website and log in with your credentials.
- Locate the IPO Section: Navigate to the 'IPO' section on the platform.
- Select IPO: Find and select the Ather Energy IPO from the list of open IPOs.
- Enter the Lot Size: Specify the number of lots you want to bid for.
- Submit Your UPI ID: Enter your UPI ID to link your payment method and submit your application.
- Approve Funds: Once you receive the bid request on your UPI app, approve it by entering your UPI PIN.
Contact Details of Ather Energy IPO
Registered office: 3rdFloor, Tower-D, IBC Knowledge Park, #4/1 Bannerghatta Main Road, Bangalore560 029, Karnataka, India
Phone: +918066465750
E-mail: cs@atherenergy.com
Ather Energy IPO Reservation
|
Investor Category |
Shares Offered |
|
Anchor Investor Shares |
4,17,45,576 (44.95%) |
|
QIB Shares |
2,78,30,383 (29.97%) |
|
Retail Shares |
92,76,795 (9.99%) |
|
NII (HNI) Shares |
1,39,15,192 (14.98%) |
|
Employee Shares |
1,00,000 (0.11%) |
Ather Energy IPO Lot Size
|
Application |
Lots |
Shares |
Amount (in ₹) |
|
Retail (Min) |
1 |
46 |
14,766 |
|
Retail (Max) |
13 |
598 |
1,91,958 |
|
S-HNI (Min) |
14 |
644 |
2,06,724 |
|
S-HNI (Max) |
67 |
3,082 |
9,89,322 |
|
B-HNI (Min) |
68 |
3,128 |
10,04,088 |
Ather Energy IPO Promoter Holding
Tarun Sanjay Mehta, Swapnil Babanlal Jain, and HMCL are the promoters of the company.
|
Share Holding Pre-Issue |
52.67% |
|
Share Holding Post Issue |
42.09% |
Note: Equity dilution is determined by subtracting the Share Holding Post Issue from the Share Holding Pre Issue.
Key Performance Indicators for Ather Energy IPO
|
KPI |
Value |
|
RoNW (%) |
-194 |
|
Price to Book Value |
13.38 |
Ather Energy IPO Prospectus
Ather Energy IPO Registrar and Lead Managers
Ather Energy IPO Lead Managers
- Axis Capital Limited
- HSBC Securities & Capital Markets Private Limited
- JM Financial Limited
- Nomura Financial Advisory and Securities (India) Private Limited
Registrar for Ather Energy IPO
Link Intime India Private Limited
- Contact Number: +91-22-4918 6270
- Email Address: atherenergy.ipo@linkintime.co.in
Ather EnergyIPO Registrar
Financial Performance of Ather Energy Limited
| Particulars | Year ending on March 31, 2024 | Year ending on March 31, 2023 |
|---|---|---|
| Revenue from Operation (in ₹ million) | 17,538 | 17,809 |
| Loss for the Year (in ₹ million) | (10,597) | (8,645) |
| Earnings per Share (₹) | (47) | (48) |
| Total Borrowings (in ₹ million) | 3,149 | 4,852 |
| Net Asset Value (NAV in ₹) | 24 | 34 |
| EBITDA (in ₹ million) | (6,494) | (6,867) |
Know before investing
Strengths
8Invested ₹2,365 million in research and development in FY24, driving innovation.
Filed 273 patents and registered 291 trademarks globally till 2024.
Atherstack ecosystem earned 56% EBITDA in FY24, showing strong margins.
89% of customers opted for Atherstack, boosting software-driven revenues.
Developed Ather Rizta within 13 months using modular technology.
Achieved 329% operational revenue growth from FY22 to FY24.
Factory 3.0 to raise annual capacity to 1 million units.
Pursuing strategic partnerships and targeted acquisitions to enhance offerings and expand presence in key international markets.
Risks
8Ather has faced losses and negative cash flows since inception.
Limited operating history makes future business performance hard to predict.
Growth depends on rising demand for electric two-wheelers in India.
EV awareness and adoption in India remain relatively low till date.
Highly competitive market with strong legacy and new EV players.
Product complaints and defects may hurt brand and customer trust.
Revenue depends heavily on limited E2W models and related services.
OTA (Over-The-Air) software updates or hardware faults may impact product performance.
Ather Energy Limited Peer Comparison
| Company Name | EPS (Basic) | NAV (per share in ₹) | RoNW (%) | P/BV Ratio |
|---|---|---|---|---|
| Ather Energy Limited | -47 | 24 | -194 | - |
| Hero Motocorp Limited | 187 | 884 | 21 | 4.21 |
| Bajaj Auto Limited | 273 | 935 | 29 | 8.43 |
| Ola Electric Mobility Limited | -4 | 6 | -78 | 8.83 |
| Tvs Motor Company Limited | 36 | 143 | 26 | 16.92 |
| Eicher Motors Limited | 146 | 657 | 22 | - |
