An Ather Energy showroom is seen in this photo.
Credit: Reuters File Photo
Bengaluru: EV-maker Ather Energy on Tuesday filed its Red Herring Prospectus (RHP) papers with the Securities and Exchange Board of India (Sebi), sizing down its initial public offering (IPO) size significantly amidst market volatility spurred on by the global tariff war.
The company plans to raise Rs 2,626 crore by issuing shares, as opposed to its previous plans of raising Rs 3,100 crore as per its DRHP filed in September 2024.
Its Offer for Sale (OFS) size has also been slashed to half, from 2.2 crore equity shares down to 1.1 crore.
Founders Tarun Mehta and Swapnil Jain have both scaled down their offer of shares for sale, along with investors such as Caladium Investment, National Investment and Infrastructure Fund II, Internet Fund III, IITM Incubation Cell, IITMS Rural Technology and Business Incubator.
Hero MotoCorp, which holds the largest stake in Ather (40%), has continued to keep its full holding, same as its previous stance.
The net proceeds of the offer are proposed to be used in capital expenditure to be incurred by the company for establishment of an E2W factory in Maharashtra, repayment/pre-payment of borrowings, investment in research and development, expenditure towards marketing initiatives, and general corporate purposes.
Following Ola Electric’s IPO high in 2024, Ather Energy will become the second major EV maker to go for public listing in India.