Hero MotoCorp, the world’s largest manufacturer of motorcycles and scooters have announced that they are going to invest up to an amount of Rs 420 crores in Ather Energy. Presently, the motorcycle manufacturer held 34.8% per cent of shares in Ather Energy (on a fully diluted basis) but now, the shareholding will increase and the exact shareholding will be determined upon completion of the capital raise round by Ather.
The company’s board has approved the investment in one or more tranches. Prior to the proposed investment, Hero MotoCorp’s shareholding in Ather Energy was 34.8% (on a fully diluted basis). Post the investment, the shareholding will increase and the exact shareholding will be determined upon completion of the capital raise round by Ather.
Commenting on the development, Swadesh Srivastava, Head – Emerging Mobility Business Unit, Hero MotoCorp said, “In keeping with our vision ‘Be the Future of Mobility’, we are working on a variety of emerging mobility solutions. We were one of the early investors in Ather Energy and have continued to expand our association over the years. We are excited to see the growth of Ather Energy in recent years. Our aim is to expand the Hero MotoCorp brand promise and make EV ownership a convenient, hassle-free, and rewarding experience for customers across the world.”
Hero MotoCorp is an early investor in Ather Energy and has been a part of its growth story since 2016. The company is also exploring collaborations with Ather Energy in various spheres, such as charging infrastructure, technology and sourcing. Hero MotoCorp is addressing the emerging mobility opportunity in a comprehensive manner through a range of organic and inorganic initiatives.
It is gearing up to unveil its first Electric Vehicle (EV) in the month of March this year. The vehicle is being developed at Hero MotoCorp’s world-class R&D set-up – the Center of Innovation and Technology (CIT) in Jaipur and the Tech Center Germany (TGG) near Munich – and will be produced at the company’s manufacturing facility at Chittoor in the southern Indian state of Andhra Pradesh.