Ather Energy Limited IPO

 

The Ather Energy IPO marks a significant turning point for one of India’s most innovative electric two-wheeler (E2W) companies. Founded in 2013, Ather Energy Limited has established itself as a leader in the EV space through its vertically integrated approach to design, development, and manufacturing. With a strong product portfolio, including smart electric scooters, battery packs, and a proprietary charging network, the company is accelerating the transition to sustainable urban transport. 

 

Backed by solid sales figures—over 100,000 units sold in both the nine months ended December 2024 and the full fiscal year—and an expanding presence across India, Nepal, and Sri Lanka, Ather is well-positioned for its next growth phase. The Ather Energy IPO is not just a financial event—it’s a bold step toward reshaping the future of mobility in India.

 

Ather Energy Limited-Journey

 

Originally established under the name 'Ather Energy Private Limited,' Ather Energy began its journey as a private entity. The company secured its certificate of incorporation on October 21, 2013, from the Registrar of Companies located in Chennai, with jurisdiction over Tamil Nadu and the Andaman and Nicobar Islands. Following a change in its registered office, the company received a new certificate of registration on May 31, 2016, from the Registrar of Companies, Karnataka at Bangalore. Subsequently, the company was converted into a public limited entity, following a board resolution dated June 18, 2024, and a shareholders’ resolution dated June 21, 2024. Upon this conversion, its name was changed to “Ather Energy Limited”, and a fresh certificate of incorporation was issued by the Registrar of Companies, Central Processing Centre, on August 27, 2024.

 

 Indian Electric Two-wheeler Industry

 

?The Indian electric two-wheeler (E2W) industry has witnessed significant growth, driven by supportive government policies, technological advancements, and evolving consumer preferences. Government programs like the Faster Adoption and Manufacturing of Hybrid and Electric Vehicles (FAME II) initiative, the Electric Mobility Promotion Scheme (EMPS), and the PM E-Drive subsidy offer financial incentives, including subsidies of up to Rs. 10,000 per electric two-wheeler, to promote widespread adoption.These measures, coupled with state-level subsidies and tax benefits, have made E2Ws more accessible to consumers.?

 

Technological innovations have played a crucial role in enhancing the appeal of electric two-wheelers. Advancements in battery technology have led to improved range and reduced charging times, addressing common concerns such as range anxiety. Additionally, the integration of smart features like touchscreen displays, connectivity options, and onboard navigation systems has elevated the user experience.?

 

The market has also diversified to cater to varying consumer needs, offering models that range from cost-effective scooters for daily commuting to high-performance vehicles for enthusiasts. This diversification mirrors the segmentation seen in the traditional internal combustion engine (ICE) two-wheeler market and has been instrumental in attracting a broader customer base.?

 

India's electric two-wheeler industry is poised for sustained expansion in the coming years. Backed by government support, tech progress, and a push for sustainability, electric two-wheelers are poised to shape the future of mobility in India.

 

Ather Energy Limited IPO Details

 

Ather Energy is gearing up for its IPO, which will follow the book-building mechanism and is expected to generate around Rs. 2,980.76 crore overall. This includes a fresh issuance of 8.18 crore equity shares, aimed at raising Rs. 2,626 crore. The issue also features an offer-for-sale component comprising 1.11 crore equity shares, collectively estimated at Rs. 354.76 crore.

 

The subscription period for the Ather Energy IPO will begin on April 28, 2025, and end on April 30, 2025. The allotment process is expected to be finalized by May 2, 2025, with the IPO listing scheduled for May 6, 2025, on both BSE and NSE.

 

Ather Energy has fixed its IPO price range, with shares offered at a band of Rs. 304 to Rs. 321 each. Retail participants must apply for at least 46 shares, amounting to Rs. 13,984. To improve allotment chances in case of high demand, bidding at the cutoff price—approximately Rs. 14,766—is recommended. For small and medium investors (sNII), the minimum lot size is 14 lots (644 shares), amounting to Rs. 2,06,724, while large institutional investors (bNII) must bid for at least 68 lots (3,128 shares), totaling Rs. 10,04,088.

 

Purpose of Ather Energy IPO Issue

 

The proceeds from the Ather Energy IPO will be utilized for the following key objectives:

 

 

This strategic utilization of funds from the Ather Energy IPO is aimed at expanding its operations, enhancing innovation, and strengthening its market position.

 

Ather Energy IPO Date and Important Timeline:

 

 

 

Ather Energy IPO Issue Lot Size

 

 

 

Ather Energy IPO Reservation

 

 

Ather Energy Limited Investment Potential:

 

Qualitative Factors:

• The company consistently pioneers new technologies in the EV space.

• Ather’s electric scooters are positioned at the higher end of the price spectrum within their respective categories.

• Ather designs and develops products with strong internal R&D and vertical integration.

• Its software-driven ecosystem boosts customer engagement and improves margins.

• Ather’s tech platform supports fast and efficient product launches.

• It has experienced leadership and long-term investors focused on good governance.

 

Quantitative Factors:

 

 

 

Key Performance Indicator

 

 

Risk Factors:

 

• Ather Energy has been incurring losses and negative cash flows since its inception, with no assurance of future profitability.

• The company has a limited operating history, making it hard to assess long-term performance and prospects.

• Its growth depends on the adoption rate of electric two-wheelers, which is still uncertain and evolving in India.

• Ather competes fiercely with well-established brands such as Ola Electric, TVS, and Bajaj, making its market position uncertain in the face of growing rivalry..

• The company has acknowledged past customer complaints and cannot ensure similar issues won't arise or be resolved promptly in the future.

In conclusion, the public issue by Ather Energy signals a transformative step for India’s electric mobility sector. With a focus on innovation, integrated manufacturing, and a growing market presence, the company is well-positioned to drive the future of urban transport. While profitability challenges and market competition remain, Ather’s vision, technology-first approach, and strategic use of IPO proceeds make it a compelling prospect for long-term investors.

By monitoring the Ather Energy IPO GMP live, you can gain insights into the market’s perception of the IPO’s valuation and potential for growth.

 

Frequently Asked Questions

 

1. What is the Ather Energy IPO?

Ather Energy Limited, one of India’s prominent electric two-wheeler makers, is launching a public share offering through its upcoming IPO. The IPO aims to raise capital to support its expansion plans, including setting up manufacturing facilities and investing in R&D.

 

2. When is the Ather Energy IPO date?

Investors can look forward to bidding for Ather Energy’s IPO from April 28 to April 30, 2025, with its shares anticipated to debut on the stock exchange by May 6, 2025.

 

3. How can you check Ather Energy's IPO GMP today and stay updated with Ather Energy IPO news?

To check Ather Energy IPO GMP today, visit financial platforms like Enrich Money for real-time updates. Stay updated with the latest Ather Energy IPO news on Enrich Money, offering insights on IPO performance and market trends.

 

4. How to apply for Ather Energy IPO through Enrich Money Trading Platform?

To participate in the Ather Energy IPO via Enrich Money, log into your account, head to the IPO section, locate the Ather Energy offer, choose the number of lots you wish to apply for, authorize the payment through UPI, and place your bid to receive timely updates on allotment progress.

 

5. When will the Ather Energy IPO shares be allotted?

The Ather Energy IPO allotment is likely to be completed on Friday, May 2, 2025. The allotted shares should be visible in investors’ demat accounts by Monday, May 5, 2025.

 

6. What is the minimum lot size and investment amount for the Ather Energy IPO?

Investors need to apply for a minimum of 46 shares, which requires an investment of Rs. 14,766.

 

Disclaimer: This blog is dedicated exclusively for educational purposes. Please note that the securities and investments mentioned here are provided for informative purposes only and should not be construed as recommendations. Kindly ensure thorough research prior to making any investment decisions. Participation in the securities market carries inherent risks, and it's important to carefully review all associated documents before committing to investments. Please be aware that the attainment of investment objectives is not guaranteed. It's important to note that the past performance of securities and instruments does not reliably predict future performance.