Electric vehicle (EV) company Ather Energy recently passed a resolution to convert the start-up from a private to a public company. The decision was taken at the annual general meeting of the company that was held last week. This is as per a report by Inc42.
From Ather Energy Private Limited, the start-up's name has changed to Ather Energy Limited. Additionally, the authorized share capital of the company has also increased from Rs 93.6 lakh to Rs 50 crore.
These developments follow reports from several months ago that the electric vehicle (EV) start-up had enlisted HSBC Holdings Plc, Nomura Holdings Inc., and JP Morgan Chase & Co. to manage its initial public offering (IPO). Ather Energy was reportedly aiming for a listing in the second half of 2024 with a projected valuation of approximately $2 billion.
Advertisement
Through a mix of debt and equity, the company also raised Rs 286 crore last month from its cofounders and Stride Ventures, as reported by Inc42. The co-founders of the company, Tarun Mehta and Swapnial Jain, reportedly invested Rs 43.28 crore in the company, while Stride Ventures invested around Rs 200 crore via debentures.
One of Ather Energy’s biggest competitors is Ola Electric. Ola Electric is also planning to go public and raise up to Rs 5,500 crore. The Securities and Exchange Board of India, or SEBI, also recently gave the nod for the EV maker’s IPO.
Advertisement
Started in 2013 by IIT graduates Jain and Mehta, Ather Energy designs and manufactures electric vehicles in the country. As per data platform Tracxn, the company has a valuation of $679 million as of June 7, 2024. Similarly, the total funding raised by the company is $431 million.
Data by the Society of Manufacturers of Electric Vehicles (SMEV) highlights that, at around 34 percent, Ola Electric has the highest market share in the EV segment. It is followed by TVS Motors at 19 percent and Ather Energy at 11 percent.
