Ather Energy IPO: Hero MotoCorp-backed E2W maker raises ₹1,340 crore from anchor investors ahead of public issue | Stock Market News

Ather Energy IPO: Electric two-wheeler maker Ather Energy Ltd on Friday said it has mobilised ₹1,340 crore from anchor investors days ahead of the launch of its inITIal share sale for public subscription.

The Ather Energy IPO opens for public subscription on April 28.

Some of the key anchor investors who were allocated shares include Custody Bank of Japan, Franklin Templeton, Abu Dhabi Investment Authority, Eastspring Investments, Morgan Stanley Investment Management and Societe Generale.

PSBI Mutual Fund (MF), Aditya Birla Sun Life MF, ICICI Prudential MF, Invesco MF, Aditya Birla Sun Life Insurance, ITI MF and Union MF are among the anchor investors.

According to a circular uploaded on BSE’s website, the electric two-wheeler maker has allotted 4.17 crore shares to 36 funds at ₹321 apiece, which is also the upper end of the price band. This aggregates the transaction size to ₹1,340 crore.

The ₹2,981-crore public issue, with a price band of ₹304 to ₹321 a piece, will be available for public subscription from April 28 to April 30.

This will be the first mainboard public issue of the current financial year (2025-26).

The IPO will be a combination of fresh issue of equity shares worth ₹2,626 crore and an offer-for-sale of 1.1 crore equity shares by promoters and other shareholders.

Ather intends to raise funds for establishment of an electric two-wheeler factory in Maharashtra, and debt reduction.

At the upper end of the price band, the IPO size is pegged at ₹2,981 crore, placing the company’s overall valuation at ₹11,956 crore.

This will be the second electric two-wheeler company looking to go public after Ola Electric Mobility floated its ₹6,145-crore IPO in August last year. Ola Electric’s IPO had a fresh issue of up to ₹5,500 crore and an OFS of up to 8.5 crore equity shares.

Apart from its IPO plans, Ather Energy has also been expanding its research and development capabilities. Recently, the company announced the expansion of its R&D and testing capabilities at its product testing & validation centre.

The electric two-wheeler company has set aside 75 per cent of the issue for qualified institutional buyers, 15 per cent for non-institutional investors and the remaining 10 per cent for retail investors.

Axis Capital, JM Financial, Nomura Financial Advisory and Securities (India), and HSBC Securities & Capital Markets are the IPO’s book-running lead managers. The equity shares of the company are expected to list on May 6 on the stock exchanges.