The preferential issue, combined with Ather Energy’s recently completed ₹1,300 crore Qualified Institutional Placement (QIP), takes the company’s total fundraise to around ₹2,500 crore.
The ₹1,300 crore QIP had attracted bids worth more than ₹10,000 crore, with participation from leading domestic and global institutional investors. The preferential issue has participation from Ather’s promoter and strategic investors.
Hero MotoCorp, along with Ather co-founders Tarun Mehta and Swapnil Jain, will invest through warrants at ₹1,260 apiece, a 7.2% premium to the floor price of ₹1,175.74. Strategic investor India-Japan Fund will subscribe to equity shares at ₹1,230 per share, representing a 4.6% premium to the floor price.
Hero MotoCorp will invest around ₹960 crore, while India-Japan Fund will invest ₹200 crore. Co-founders Tarun Mehta and Swapnil Jain will invest ₹20 crore each.
The fundraise comes as Ather continues to scale its operations amid strong demand and improving financial performance. The company delivered 2.63 lakh scooters in FY26, while total income rose 66% year-on-year to ₹3,823 crore.
Ather also turned EBITDA positive in the June quarter of FY27, marking an improvement in its operating performance.
The fresh capital will be used to strengthen manufacturing capacity, expand product and technology capabilities and bolster the company’s balance sheet.
Ather’s upcoming manufacturing facility at AURIC in Chhatrapati Sambhaji Nagar is on track for commissioning in the third quarter of FY27. The facility is expected to add five lakh units of annual production capacity.
The company is also expanding its product portfolio through its EL platform. The first product built on the platform, Ather Konarc, is scheduled to be launched on August 29 at Ather Community Day.
