Ather Energy Reportedly Plans $200 Million Indian Stock Issuance

Ather Energy Plans $200 Million Share Sale to Institutional Investors

Ather Energy Ltd., a leading electric two-wheeler maker, is planning a share sale to institutional investors as early as next week to raise as much as $200 million. According to people familiar with the matter, the company has appointed HSBC Holdings Plc, Axis Capital Ltd., and Nomura Holdings Inc. to manage the qualified institutional placement.

Shares of Ather have surged more than 250% from their initial public offering price in May 2022. The gains have accelerated since the Iran war increased demand for electric transport options. The fundraising would provide additional capital to expand manufacturing capacity, scale the company's retail network, and invest in new products as competition intensifies in India's electric vehicle market.

has been backed by investors including Hero MotoCorp Ltd. and has been expanding its product lineup and charging infrastructure as competition in India's electric scooter market heats up. The company faces rivalry from several major players in the market, including Ola Electric Mobility Ltd., TVS Motor Co., and Bajaj Auto Ltd.