Govt to pump ₹200 crore into Ather as EV maker raises fresh funds

Govt to pump ₹200 crore into Ather as EV maker raises fresh funds


The Government of India, through the India-Japan Fund (IJF), will invest about ₹200 crore in electric two-wheeler maker Ather Energy as part of the company’s ₹1,200-crore preferential fundraise approved by its board on Tuesday.

The investment will be made through the India-Japan Fund, a $600-million bilateral fund backed by the Government of India and the Japan Bank for International Cooperation (JBIC), and managed by the National Investment and Infrastructure Fund Ltd (NIIFL).

Under the fundraising plan, the India-Japan Fund will subscribe to 16.26 lakh equity shares at ₹1,230 apiece, investing ₹199.99 crore.

The remaining ₹1,000 crore will come through convertible warrants issued to existing promoter-investors. Hero MotoCorp will invest ₹960 crore, while Ather co-founders Tarun Mehta and Swapnil Jain will each invest ₹20 crore.

Ather said the fundraising, which is subject to shareholder and regulatory approvals, will be carried out through a preferential issue of equity shares and convertible warrants. The warrants can be converted into equity shares within 18 months of allotment.



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