Ather Energy has gained shareholder approval for a ₹1,200 crore capital raise, supporting its manufacturing expansion, new product development, and market reach, powered by existing investors including Hero MotoCorp and NIIF.
Ather Energy has won shareholder backing for a fresh ₹1,200 crore capital raise, clearing an important hurdle as the electric scooter maker pushes ahead with expansion plans. At an extraordinary general meeting, investors approved the preferential issue with 97.72 per cent of votes cast in favour, according to the company’s filing and reports from the Economic Times and other business publications.
The new money is expected to come largely from existing backers. Hero MotoCorp will invest about ₹960 crore, while the India-Japan Fund, managed by NIIF, will put in about ₹200 crore. Founders Tarun Mehta and Swapnil Jain are also subscribing to warrants worth ₹20 crore each, underscoring continued support from the company’s original leadership, according to the Economic Times and other reports.
The preferential issue is part of a wider fundraising drive. Business Standard reported earlier that Ather’s board had approved a plan to raise up to ₹2,500 crore through a mix of securities, while the company has already completed a ₹1,300 crore qualified institutional placement. Outlook Business said the aim is to strengthen the balance sheet, fund manufacturing expansion and support product development as Ather scales up.
That expansion is already visible on the ground. Ather has said its new plant at Chhatrapati Sambhajinagar in Maharashtra is nearing completion and is expected to add around 5 lakh units of annual capacity when it comes on line in the third quarter of the current financial year. The new facility is intended to complement its existing Hosur operations and improve reach in western and northern India, according to company statements reported by multiple outlets.
The company is also preparing a new product push. Reports say its EL platform will underpin a fresh scooter line, with the first model due for launch on August 29 at Ather Community Day. That comes as Ather seeks to broaden its appeal beyond its premium base, building on the stronger momentum around its Rizta family scooter.
Ather’s financial progress has added to investor confidence. The company said it turned EBITDA-positive in the June quarter, a notable milestone for an electric vehicle start-up still investing heavily in growth. Government vehicle-registration data cited in reports places Ather as India’s third-largest electric two-wheeler maker with about 16.2 per cent market share, while its retail network has expanded rapidly over the past year.
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