Ather Energy Secures ₹200 Crore Government Investment

Electric bike manufacturer Ather Energy has secured a ₹200 crore investment from the India-Japan Fund (IJF) as part of its ongoing ₹1,200 crore fundraising round. The company disclosed the development in a stock exchange filing on July 15. This news came soon after Ather announced that it will be unveiling its first new model based on the affordable EL platform on August 29.

Along with the government-backed investment, Hero MotoCorp, Ather Energy's largest shareholder, will invest ₹960 crore through convertible warrants. Hero currently owns 29.48 percent of Ather Energy, based on shareholding data as of June 30. The company stated that its final stake will depend on the pricing and structure of the securities issued. The investment is expected to be completed within 15 days of receiving the necessary approvals.

The company also announced that Ather's founders will participate in the fundraising. Co-founders Tarun Mehta and Swapnil Jain will each invest ₹20 crore, taking their combined contribution to ₹40 crore. Earlier in June, Ather Energy began discussions with several investment banks to appoint advisors for its first major fundraising exercise since its May 2025 initial public offering (IPO).

The additional capital is expected to support Ather's future expansion plans, product development, and business growth as competition in the EV segment continues to intensify. Ather Energy maintained its position as the third-largest electric two-wheeler brand in India based on vehicle registrations. The company recorded 29,422 registrations last month, representing a 79.5 percent year-on-year increase compared to 16,392 units during the same period last year. Its market share also improved to 16.2 percent, up from 14.7 percent a year earlier, reflecting steady growth in the country's fast-expanding electric mobility market.