Ather Energy Turns Unicorn Post ₹600 Crore Funding

Ather Energy has become the newest member of the exclusive unicorn (a privately held company with a valuation of $1 billion or above) group. The company received a fresh funding of almost ₹600 crore ($71 million) from the National Investment and Infrastructure Fund (NIIF). The new funding comes at a valuation of ₹10,900 crores ($1.3 billion), thereby making the Bengaluru-based startup join the elusive 106 unicorn companies in the country. Ather has been raising multiple of funding over the past year, and its last raise was 286 crore ($34 million) in May 2024. 

Ather Energy was valued at around $750 million in 2022, but Hero MotoCorp invested ₹ $124 crore at a valuation of $671 million earlier this year. However, it should be noted that Hero owns over 40% of the electric two-wheeler brand. Ather's reaching unicorn status comes in the background of Ola Electric being valued at $5.7 billion after the company was listed on the stock exchange. 

On the product front, Ather sales have been sliding with legacy players like TVS and Bajaj with its Chetak electric scooter overtaking it. To arrest this slide, the company had launched its second scooter offering, the Rizta, positioned as a family electric scooter after the 450 series. Ather will be hoping that the Rizta can claw back its sales performance whereas the upcoming FAME-III subsidy might help its cause further. We have got in touch with Ather Energy for an official quote on the unicorn status, and the article will be updated once we receive the same.