Key Points :
Funding Boost: Ather Energy secures a substantial funding injection of INR 286 crore (USD 34 million) from its founders and Stride Ventures, reinforcing its commitment to revolutionize India’s electric mobility landscape.
Strategic Funding Structure: The funding comprises Series F compulsorily convertible preference shares from founders Tarun Mehta and Swapnil Jain and Series C3 debentures issued to Stride Ventures, enabling Ather Energy to execute expansion plans and develop new products.
Product Innovation: Ather Energy introduces the ‘Rizta’ electric scooter, priced at INR 1,09,999, aimed at addressing family requirements and expanding its target market beyond its previous focus, exemplified by the success of its predecessor, the Ather 450.
Leadership Vision: CEO Tarun Mehta expresses confidence in the Rizta’s potential to surpass previous models, signaling a commitment to aggressive business expansion and innovation.
Strategic Partnership: The investment from Stride Ventures not only provides financial backing but also brings strategic guidance and industry expertise, fostering growth and innovation opportunities for Ather Energy.
Founder Reinforcement: Founders Tarun Mehta and Swapnil Jain’s reinvestment underscores their belief in Ather Energy’s vision and potential to lead India’s electric mobility revolution, bolstering confidence among investors.
Expansion Plans: Ather Energy plans to utilize the funding to scale up production, enhance research and development, and expand its sales and service network across India, reaffirming its commitment to innovation and customer satisfaction.
Market Positioning: Ather Energy’s proactive approach in securing funding and launching new products positions it as a frontrunner in meeting the increasing demand for sustainable transportation solutions in India’s evolving EV market.
Future Outlook: With solid financial backing and ambitious growth plans, Ather Energy is poised to drive forward the electric mobility revolution in India, playing a pivotal role in shaping the future of the industry.
Ather Energy Secures INR 286 Crore to Power Up Its Electric Future
Bengaluru-based Ather Energy, a prominent player in the electric vehicle (EV) market, has announced a substantial funding injection of INR 286 crore (USD 34 million), sourced from its founders and Stride Ventures. This strategic move underscores the company’s commitment to revolutionizing the electric mobility landscape in India.
The funding, a blend of bonds issuance and share sales, comprises Series F compulsorily convertible preference shares from founders Tarun Mehta and Swapnil Jain worth INR 86 crore, and Series C3 debentures issued to Stride Ventures amounting to INR 200 crore. This influx of capital arrives at a pivotal moment for Ather Energy, as it charts ambitious expansion plans and endeavors to introduce new products to the market.
Earlier this year, Ather Energy unveiled its latest offering, the ‘Rizta’ electric scooter, during the Ather Community Day event in Bengaluru. Priced at INR 1,09,999 (ex-showroom Bengaluru), the Rizta is tailored to meet family needs, signifying a strategic shift in the company’s target markets. With the success of its predecessor, the Ather 450, the introduction of the Rizta positions Ather Energy for further growth in the electric two-wheeler segment.
Ather Energy’s CEO, Tarun Mehta, expressed confidence in the Rizta’s potential to outperform previous models, highlighting its role in driving the company’s aggressive business expansion and innovation agenda. The timing of the investment aligns perfectly with Ather’s imperative to stay competitive in the burgeoning EV market, facilitating increased production capacity, product range expansion, and potential foray into new markets.
The recent INR 200 crore investment from Stride Ventures underscores investor confidence in Ather Energy’s business model and growth trajectory. Beyond financial backing, the partnership with Stride Ventures offers strategic guidance and industry expertise, paving the way for further innovation and market leadership.
Founders Tarun Mehta and Swapnil Jain’s reinvestment in the company reaffirms their unwavering belief in Ather Energy’s vision and potential to spearhead India’s electric mobility revolution. Their continued support not only bolsters the company’s financial stability but also sends a positive signal to prospective investors about Ather’s long-term prospects.
With the infusion of fresh capital, Ather Energy is poised to accelerate its growth momentum. Plans include ramping up production, bolstering research and development efforts, and expanding its sales and service network nationwide. A relentless focus on innovation and customer satisfaction remains central to Ather’s strategic blueprint.
As India’s EV market continues to gain traction, Ather Energy’s proactive stance in securing funding and introducing innovative products positions it as a frontrunner in the quest for sustainable transportation solutions. The company’s steadfast commitment to quality and innovation underscores its pivotal role in shaping the future of electric mobility in India.
In summation, Ather Energy’s latest funding milestone marks a significant step forward in its journey to prominence in the electric vehicle industry. With solid financial backing from its founders and Stride Ventures, coupled with a robust growth strategy, Ather Energy is poised to drive the electric mobility revolution in India to new heights.
