Ather Energy, the prominent electric scooter manufacturer, has officially converted itself from Ather Energy Private Limited to Ather Energy Limited, marking a crucial stride towards its anticipated initial public offering (IPO).
The decision to transition into a public entity was endorsed by the Ather board, reflecting its strategic move to facilitate its IPO plans. Recently, the company secured Rs 286 crore ($34 million) through a combination of venture debt and equity funding from co-founders.
According to insights from startup data intelligence platform TheKredible, Ather counts Hero Moto Corp as an associate company, holding a significant 38% stake following a recent investment of Rs 124 crore ($15 million) earlier this month. Ather has amassed over $550 million in funding and achieved a valuation of $750 million during its Series E funding round.
Recent data from Vahan indicates that Ather emerged as the fourth-largest electric two-wheeler manufacturer in May, commanding a 9.45% market share. Leading the market were Ola Electric, TVS, and Bajaj. Ather’s unit sales surged to 6,024 in May from 4,000 in April, with March witnessing a total of 17,000 units sold.
Financially, Ather reported a marginal 1.5% decline in revenue from operations to Rs 1,754 crore in FY24, down from Rs 1,781 crore in FY23.
Ather faces fierce competition from peers such as Ola Electric, which recently secured approval from SEBI for a substantial $660 million IPO. Ola Electric recorded exponential growth in FY23, with its operational revenue soaring seven-fold to Rs 2,631 crore. Other competitors include TVS, Hero Electric, River, and Okinawa.
This move positions Ather Energy strategically in the competitive electric vehicle market as it prepares to leverage public funding to fuel future growth and innovation.
