Posted on April 23, 2025, by Niftynews
The much-anticipated Ather Energy IPO is all set to debut on April 28, 2025, bringing excitement to India’s electric vehicle (EV) and stock market sectors. With a price band of ₹304 to ₹321, the Bengaluru-based EV manufacturer is targeting to raise ₹2,626 crore through this mainboard public offering.
Backed by global investor Tiger Global and two-wheeler giant Hero MotoCorp, the Ather Energy IPO marks the first major IPO of the FY25-26 financial year.
📊 Ather Energy IPO Overview
- Issue Size: ₹2,626 crore
- Price Band: ₹304 – ₹321 per share
- IPO Open Date: April 28, 2025
- IPO Close Date: April 30, 2025
- Anchor Investment Opens: April 25, 2025
- Allotment Date: May 2, 2025
- Tentative Listing Date: May 6, 2025
- Stock Exchanges: BSE and NSE
💼 What’s in the Ather Energy IPO?
The Ather Energy IPO consists of:
- A fresh issue of equity shares
- An Offer for Sale (OFS) of 1.1 crore equity shares
Key promoters, including Tarun Sanjay and Swapnil Babanla, along with other institutional investors, will partially sell their holdings through the OFS. Notably, Hero MotoCorp, which owns a 40% stake in Ather, has opted not to sell its shares, signaling long-term commitment.
💸 Valuation and Strategic Use of Funds
With this IPO, Ather is targeting a post-money valuation of ₹12,800 crore, slightly lower than the previously expected ₹14,000 crore.
Funds from the Ather Energy IPO will be used for:
- Setting up a new EV manufacturing plant in Maharashtra
- Accelerating R&D for future electric scooters
- Repaying existing debts
- Boosting marketing and brand awareness
- Meeting general corporate needs
⚙️ Ather’s Product Line & Technology
Ather Energy is a vertically integrated electric two-wheeler (E2W) company that designs and assembles its products in-house. Their lineup includes:
- Ather 450 Series – Targeting premium urban commuters
- Ather Rizta – Family-focused scooter launched in 2024, now a top seller
The company’s hardware and software are tightly integrated, with in-house battery packs, connected dashboards, and a growing network of charging infrastructure.
📈 Ather Energy IPO Financial Highlights
Let’s dive into Ather’s financial trajectory leading up to the IPO:
Revenue Performance (₹ in Cr)
| Year | FY22 | FY23 | FY24 | 9M FY25 |
|---|---|---|---|---|
| Ather Energy | 408.9 | 1,780.9 | 1,753.8 | 1,578.9 |
| Ola Electric | 373.4 | 2,630.9 | 5,009.8 | 3,903 |
EBITDA Loss (₹ in Cr)
| Year | FY22 | FY23 | FY24 | 9M FY25 |
|---|---|---|---|---|
| Ather Energy | -255 | -686.7 | -649.4 | -370 |
| Ola Electric | -717.6 | -1100.7 | -1034.1 | -743 |
Thanks to increased sales from the Ather Rizta, the company reported a lower net loss of ₹578 crore in the nine months ending December 2024, compared to ₹776 crore in the same period last year.
🔗 Strong Institutional Backing
The Ather Energy IPO is supported by major financial and strategic investors:
- Hero MotoCorp – 40% stake, not selling shares
- Tiger Global – Long-term investor
- Other venture capital firms have supported Ather’s growth since its inception
📌 Key Dates for Ather Energy IPO Investors
- IPO Opens: April 28, 2025
- IPO Closes: April 30, 2025
- Allotment Finalization: May 2, 2025
- Tentative Listing Date: May 6, 2025
📘 Lead Managers & Registrar
The IPO is being led by a seasoned team of investment bankers:
- Axis Capital
- HSBC Securities
- JM Financial
- Nomura India
Registrar: Link Intime India
🧠 Final Thoughts: Should You Invest in the Ather Energy IPO?
The Ather Energy IPO brings an exciting opportunity to invest in one of India’s top EV startups. With strong backing, a rapidly growing market, and a solid product lineup, Ather is poised for growth.
However, like any IPO, it comes with risks, such as profitability delays and intense competition from Ola Electric, TVS, and Bajaj. Investors should review the red herring prospectus and consult with financial advisors before making a decision.
