Hero MotoCorp Invests Rs. 124 Crore In Ather Energy

Hero To Expand Its EV Portfolio With New Products This Fiscal

Delhi-based Hero MotoCorp invested, up to Rs. 124 Crore in Ather Energy an electric two-wheeler company in Bengaluru.   Ather Energy is engaged in designing, manufacturing, selling, and servicing electric two-wheelers. It has business spread out in charging infrastructure, storage, distribution, and management of electric power. This included energy investment in batteries and other ancillary services. Ather Energy has turnover for the year ended March 31, 2024, was Rs. 1,753.8 crore.

This collaboration was undertaken to design, and manufacture smart electric vehicles. They also plan to develop associated charging infrastructure and storage, distribution, and management of electric power (including energy in the form of batteries).

The cost of acquisition is up to Rs. 124 Crores, this investment is being made in the form of purchase of additional shares from an existing shareholder of Ather Energy. This acquisition is being made up to 2.2% shares (on a fully diluted basis). It’s also engaged in all forms of electric power (including energy in the form of batteries) and other ancillary services. It has a wide presence across the country. Its turnover for the years ended March 31, 2024, was Rs. 1,753.8 crores, March 31, 2023, was Rs. 1,780.9 crores, and March 31, 2022, was Rs. 408.5 crore.

Currently, Hero MotoCorp is an existing shareholder in Ather Energy and this transaction entails the purchase of additional shares of Ather Energy from another existing shareholder. Hero MotoCorp is engaged in the manufacturing and selling of motorized two-wheelers, spare parts, and related services. The Company is a leading two-wheeler manufacturer and has a dominant presence in the domestic market. The company has reported an 18.29% increase in standalone net profit to Rs 1,016.05 crore on a 14.6% rise in revenue to Rs 9,519.30 crore in Q4 FY24 as compared with Q4 FY23. The scrip rose 0.91% to currently trade at Rs 5584.20 on the BSE.