Ather Energy IPO to end 2-months silence in mainboard segment; details here

Ather Energy IPO is set to open for public subscription on April 28. Check price band, lot size, GMP, allotment date, listing date and more

Ather Energy IPO: After a hiatus of nearly two months, primary market investors are set to witness the launch of a mainboard initial public offering (IPO) as Ather Energy is set to open for public subscription on Monday, April 28, 2025. Notably, the Quality Power was the last mainboard company to go public, listing on the bourses on February 24, 2025.

 

At the upper end, the Tiger Global-backed company seeks to raise nearly ₹2,980.76 crore from the public issue, which is a combination of fresh issue and offer for sale (OFS) of equity shares. 

As investors await the opening of the public offering, here are the key details of Ather Energy IPO as outlined in its Red Herring Prospectus (RHP):

 

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Ather Energy IPO structure

The public offering comprises a fresh issue of 81.80 million equity shares, and an offer for sale with promoters and shareholders divesting up to 11.05 million equity shares. Tarun Sanjay Mehta and Swapnil Babanlal Jain are from the promoters group who are participating in the OFS. Caladium Investment Pte, National Investment and Infrastructure Fund II, Internet Fund III Pte. Ltd. are among other shareholders who are taking part in the OFS.

 

Ather Energy has reserved not more than 10 per cent for the retail investors, not less than 75 per cent for the Qualified institutional buyers (QIBs), and not more than 15 per cent for the High net worth individuals (HNIs).

 

Ather Energy IPO price band, lot size

Ather Energy has set the price band at ₹304 - ₹321 per share, and lot size of 46 shares. Accordingly, the investors can bid for a minimum of 46 shares and in multiples thereof. 

At the upper price band, a retail investor will require a minimum of ₹14,766 to bid for one lot of 46 shares, and ₹1,91,958 to bid a maximum of 13 lots or 598 shares.

 

Ather Energy IPO grey market premium (GMP)

The unlisted shares of Ather Energy were trading at ₹341 apiece in the grey market ahead of the opening of the public offering, according to sources tracking unofficial market activities. Thus, the grey market premium (GMP) for Ather Energy IPO stands at ₹20 or 6 per cent as of Wednesday, April 23.

 

Ather Energy IPO timeline

The bidding for anchor investors is scheduled to take place on Friday, April 25, 2025. The subscription window to bid for the Ather Energy IPO will remain available tentatively till Wednesday, April 30, 2025. Following the closing of the subscription window, the basis of allotment of the Ather Energy IPO shares is likely to be finalised on Friday, May 2, 2025.

 

Shares of Ather Energy are expected to list on the NSE and BSE tentatively on Tuesday, May 6, 2025.

 

Ather Energy IPO objective

Ather Energy will not receive any proceeds from the OFS. "Each of the Selling Shareholders shall be entitled to its respective portion of the proceeds of the Offer for Sale after deducting its proportion of the Offer expenses and relevant taxes thereon," said the company in its RHP.

 

Ather Energy, however, proposes to utilise the net proceeds from the fresh issue for the capital expenditure to be incurred for establishment of an E2W factory in Maharashtra, India. The company will further use the proceeds for repayment/ pre-payment, in full or part, of certain borrowings availed, investment in research and development, expenditure towards marketing initiatives, and general corporate purposes.

 

Ather Energy IPO registrar, lead managers

Link Intime India is the registrar for the public offering. The book-running lead managers include Axis Capital, HSBC Securities & Capital Markets Pvt Ltd, JM Financial, and Nomura Financial Advisory and Securities (India).

 

About Ather Energy

Ather Energy is a pioneer in the Indian electric two-wheeler (E2W) market, according to the CRISIL Report. The company is a pure-play EV company that sells E2Ws and the associated product ecosystem, comprised of its software, charging infrastructure and smart accessories, all of which are conceptualised and designed by it in India. According to the CRISIL Report, Ather Energy was the third and fourth largest player by volume of E2W sales in Fiscal Year 2024 and the nine months ended December 31, 2024, respectively.

Ather Energy financial snapshot

In the financial year 2023-24 (FY24), the company's loss widened to ₹1,059.7 crore from ₹864.5 crore reported in FY23. For the nine-month period ended on December 31, 2024, the company reported a loss of ₹577.90 crore. The company's revenue dropped 1.5 per cent year-on-year (y-o-y) to ₹1,753.8 crore in FY24 from ₹1,780.9 crore reported a year ago. For the nine-month period ended on December 31, 2024, the company's revenue stood at ₹1,578.90 crore. 

 

Ather Energy's total expenditure also rose to ₹2,674.20 crore in FY24, up 0.3 per cent from ₹2,666.3 crore reported in FY23. It stood at ₹2,195.3 crore for the nine-month period ended on December 31, 2024.