Ather Energy IPO GMP and listing forecast: What to expect on debut day?

Ather Energy IPO GMP, listing price prediction: Shares of Ather Energy, which closed its initial public offering (IPO) with 1.43 times subscription, are slated to make their D-street debut on Tuesday, May 6, 2025. This would also mark the first listing in the mainline segment in the fiscal year 2025-26.

 

Ahead of listing, the company's shares were quoted trading at around ₹328 per share, reflecting a grey market premium (GMP) of ₹7 or 2.18 per cent over the issue price of ₹321, revealed the sources tracking unofficial market activities.

 

The final day subscription surge, particularly from Qualified institutional buyers (QIBs), Prashanth Tapse, senior VP (Research), Mehta Equities, said, suggests a last-minute effort to support the issue amid fears of under-subscription. This points to a lack of broad-based enthusiasm and raises concerns about the IPO’s inherent demand quality. As a result, Tapse expects a flat to mildly negative listing, likely in the range of ±5 per cent under the best-case scenario.

 

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Flat listing, he said, seems to be justified, as the issue was aggressively priced, especially when benchmarked against peer OLA Electric, whose post-listing performance has been underwhelming. Tapse believes the electric two-wheeler (EV 2W) segment remains highly competitive and capital-intensive, with most players, including market leaders, struggling to achieve sustainable profitability and raising concern with new investors.

 

“Given these facts, we recommend a ‘Hold’ only for high-risk-taking investors, who are comfortable with short- to medium-term volatility while conservative investors may prefer a wait-and-watch approach, allowing the stock to establish a more reasonable valuation post-listing,” said Tapse.

 

Ather Energy IPO details

The ₹2,981.06 crore public offering of Ather Energy comprises a fresh issue of 81.80 million equity shares and an offer for sale (OFS) with promoters and shareholders divesting up to 11.05 million equity shares of the company.

 

It was available for subscription from April 28 till April 30, 2025, at a price band of ₹304–₹321 per share, and the lot size is 46 shares. The company has set the issue price at ₹321 per share.

 

Ather Energy will not receive any proceeds from the offer for sale, as these will go to the promoters divesting their stake. However, the company plans to use the proceeds from the fresh issue for capital expenditure related to the establishment of an electric two-wheeler (E2W) factory in Maharashtra, India. Additionally, the proceeds will be used for repayment/pre-payment of certain borrowings, investment in research and development, marketing initiatives, and general corporate purposes.

 

Link Intime India served as the registrar for the public offering. The book-running lead managers for the public issue included Axis Capital, HSBC Securities & Capital Markets, JM Financial, and Nomura Financial Advisory and Securities (India).  ALSO READ: Manoj Jewellers IPO  |  Wagons Learning IPO Day 2  | Srigee DLM IPO  | Arunaya Organics IPO allotment

About Ather Energy

Founded in 2013 by Tarun Mehta and Swapnil Jain, Ather Energy is a pure-play electric vehicle (EV) firm that designs and develops its E2Ws and associated components—including battery packs, software, charging infrastructure, and accessories—largely in-house. The company’s flagship products include the Ather 450 series and the Ather Rizta series, catering to performance and family convenience segments, respectively. Ather’s proprietary operating system, Atherstack, integrates features like navigation, diagnostics, ride statistics, OTA updates, and safety systems, offering a tech-first and connected vehicle experience.