We are discussing Hero MotoCorp Invested $15 Million in the EV Startup Ather Energy:
Ather Energy, a Bengaluru-based EV manufacturing startup, has raised a $15 million investment from Hero Motocorp. The company approved the purchase of an additional 2.2% stake in Ather Energy for $15 million, making Hero Motocorp the biggest stakeholder in Ather Energy with a 42% stake.
The investment was made after Ather Energy raised $34.5 million in a debt and equity round. The round involved new and existing investors and was led by Stride Ventures with Rs 200 crore, followed by the startup’s co-founders with Rs 43.28 crore each. The startup data intelligence platform TheKredible estimated Alter Energy’s valuation to be around $750 million in its previous Series E round. The startup has secured a total of $450 million to date since its inception.
The Kredible reported Sachin Bansal as the second largest stakeholder of Ather Energy after Hero MotoCorp. Other startup external stakeholders include Caladium Investment and Tiger Global. This investment will build two-wheeler solutions to meet market needs and increase the Electric Scooters’ performance capability. The company invested in three parts and became the largest stakeholder of the EV manufacturing startup, with 42% percent of the total stake. This finding will be used to build innovative EV solutions to meet public demands.
The company reported a 4.36 times increase in its operating revenue to Rs 1,784 crore in FY23, while the loss grew by 2.5 times to Rs 864.5 crore in the same duration. Despite the financial losses, the startup sold over 17,000 units in March. In contrast, the startup saw a 50% drop in overall sales for April, while the sales increased in May with 6,024 units sold. Alter Energy holds a 9.42% market share and intends to use the funding to strengthen its platform and reach more people nationwide.
Conclusion
Ather Energy is an EV startup that raised a $15 million investment from Hero MotoCorp. Ather Energy got this investment after the Stride Venture invested Rs 200 crore in the startup. Investors participating in the funding round include BP Venture, TigerGlobal, Caladium Investment, Hero Motocorp, and Stride Ventures. Ather Energy, the largest electric scooter manufacturer, has fast, intelligent manufacturing solutions nationwide. Alter Energy was valued at around $750 million in its previous Series E round. Alter Energy was valued at around $750 million in its previous Series E round.
The startup has secured a total of $450 million to date since its inception. The company invested in three parts and became the largest stakeholder of the EV manufacturing startup, with 42% percent of the total stake. These fresh funds will be used to build innovative EV solutions to meet public demands and increase the performance capability of its Vehicles. The electric two-wheelers manufacturer saw a 50% drop in overall sales for April, while the sales increased in May, with 6,024 units sold.
