Ather Energy files DRHP with Sebi for IPO; seeks to raise ₹3,100 crore via fresh issue

Electric two-wheeler maker Ather Energy on Monday filed Draft Red Herring Prospectus (DRHP) with capital markets regulator Sebi to raise funds through an Initial Public Offering (IPO).

The proposed Ather Energy IPO is a combination of a fresh issue of equity shares worth ₹3,100 crore and an Offer For Sale (OFS) of 2.2 crore equity shares by promoters and investors shareholders, according to the DRHP, PTI reported.

Caladium Investment Pte Ltd, National Investment and Infrastructure Fund II, 3State Ventures Pte Ltd, IITM Incubation Cell and IITMS Rural Technology and Business Incubator among others, will be selling their shares in the OFS.

Hero MotoCorp, the world’s largest two-wheeler manufacturer, holds a 37.2% stake in Ather Energy and will not sell shares in the IPO.

Ather Energy proposes to utilise the proceeds from the fresh issue for capital expenditure to establish an electric two-wheeler factory in Maharashtra, investment in research and development, marketing initiatives, repayment of loan and for general corporate purposes.

Axis Capital, HSBC Securities and Capital Markets (India) Pvt Ltd, JM Financial, and Nomura Financial Advisory Securities (India) Pvt Ltd are the book-running lead managers to the Ather Energy IPO, the report said.

Ather Energy is a pure-play EV company that designs all its products ground up in India. Since its inception in 2013, the company has focused on product and technology development in India in order to build an E2W ecosystem.

Ather Energy IPO will be the second electric two-wheeler company to go public after Ola Electric Mobility which raised ₹6,145 crore from its IPO in August. Ola Electric IPO comprised a fresh issue of up to ₹5,500 crore and an OFS of up to 8.49 crore equity shares.

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(With inputs from PTI)