Hero MotoCorp has announced a substantial investment of Rs 550 crore in Ather Energy, a notable player among electric vehicle companies in Bangalore ![sharebutton](https://dekhoev.com/WebsiteImages/share.png)
According to a filing with the stock exchange, the investment is subject to the execution of legal documents and satisfaction of requirements typical of a transaction of this kind. At its meeting on September 4, Hero MotoCorp's board of directors approved an investment of up to Rs 550 crore in Ather Energy's rights issue, according to the filing.
The investment was approved as the electric vehicle maker sought to close a funding round before to its first public offering.
Ather Energy situated it’s electric vehicle companies in bangalore, and ero MotoCorp has invested over Rs 1,000 crore there and currently owns 33.1% of the business. Series E2 compulsorily convertible preference shares are the object of the new investment.
In FY22–23, Ather reported revenues of Rs 1,806 crore, up from roughly Rs 414 crore and roughly Rs 80 crore in the prior fiscal years. It was founded by Tarun Mehta and Swapnil Jain. In more than 100 cities, Ather has more than 1,400 charging stations.
In August of this year, the company sold 8,062 units, a 25.77% increase from the 6,410 units sold in August of 2022. It makes three electric scooters: the Ather 450X, the Ather 450 Plus, and the Ather 450S.In July of current year, it sold 7,858 units. To develop its charging network, Ather Energy partnered with Bharat Petroleum Corporation Limited in July.
Caladium Investment Pte Ltd and Herald Square Ventures, managed by Navam Capital, invested $50 million in the company in October. During its most recent funding in October, Ather was valued at $700 million, and it was looking to raise another round to achieve unicorn status.
Major investments are made in Electric vehicle industry due to the future scope of electric vehicle.