Ather Energy, the electric scooter manufacturer based in Bengaluru, has selected Aurangabad, now officially in Maharashtra for its third production facility. The new plant will have the capacity to manufacture 1 million two-wheelers annually, significantly boosting Ather’s production capabilities.
Sources indicate that an agreement with the Maharashtra state government is imminent, though an official spokesperson for Ather Energy declined to comment on the matter. The company plans to invest Rs 1,000 crore in the project, which will be developed in phases and span over 100 acres.
This expansion follows Hero MotoCorp’s recent acquisition of a 2.2% stake in Ather Energy for ₹124 crore. Ather Energy, renowned for its innovative electric scooters, engages in designing, creating, manufacturing, marketing, servicing, and developing software related to electric vehicles and charging infrastructure. The company also offers ancillary services and manages systems for the storage, distribution, and utilization of electric power, including battery energy.
In the financial year 2024, Ather Energy reported revenue of ₹1,753.8 crore. The company is also preparing for an initial public offering (IPO) early next year, with expectations to raise up to $2 billion. According to Bloomberg News, Ather has been in the process of selecting banks for the IPO, which might raise as much as $400 million through the sale of shares, though specifics regarding the number and valuation may vary.
Ather Energy was founded in 2013 by Tarun Mehta and Swapnil Jain, both graduates of the Indian Institute of Technology Madras. In 2022, the company secured approximately $128 million in a series E funding round, which included contributions from the National Investment and Infrastructure Fund Ltd. and existing investors such as Hero MotoCorp Ltd.
The new plant in Aurangabad underscores Ather’s commitment to expanding its production capacity and meeting the increasing demand for electric two-wheelers in India. This strategic move is expected to enhance Ather’s market presence and contribute to the growth of the electric vehicle sector in the country.
