Ather’s board authorized a plan to raise equity capital of INR 86.6 Cr from its founders, Tarun Mehta and Swapnil Jain, by issuing 74,148 Series F CCPS. Furthermore, the electric two-wheeler startup’s board approved raising INR 200 crore of debt capital from Stride Ventures by issuing up to 20,000 non-convertible debentures. In April, Ather, a prominent player in the Indian electric two-wheeler sector, registered 4,052 two-wheeler electric vehicles (EVs).
Ather Energy, an electric vehicle (EV) startup, is planning to finance INR 286.5 crore in a mix of equity and debt.
The Bengaluru-based startup’s board has authorized a proposal to raise INR 86.6 crore in equity capital from its founders, Tarun Mehta and Swapnil Jain, by issuing 74,148 Series F compulsory convertible preference shares.
Additionally, the board of the electric two-wheeler firm approved raising INR 200 crore in debt funding from Stride Ventures by issuing up to 20,000 non-convertible debentures.
The development was initially reported by Entrackr.
The fundraising comes months after Hero MotoCorp announced that it would buy an additional 3% share in Ather for up to INR 140 crore ($16.8 million). Earlier in September last year, Ather raised INR 900 crore from existing shareholders Hero MotoCorp and GIC via a rights offering.
It was also reported in April of this year that the EV maker was in discussions with existing investors to raise $75-90 million.
Earlier this year, sources stated that current investor Sachin Bansal had sold a major amount of his Ather Energy shares to Zerodha cofounder Nikhil Kamath.
Meanwhile, the documents stated that Ather Energy’s board of directors accepted the nomination of Kaushik Dutta as the company’s independent director for a five-year term beginning May 6, 2024.
Dutta is the founding co-director of the non-profit Thought Arbitrage Research Institute and a fellow of the Institute of Chartered Accountants.
Dutta is currently the chairman of Zomato and has previously worked with IICA of the Ministry of Corporate Affairs, PricewaterhouseCoopers, and Global Capital Markets, among others.
Ather Energy, founded in 2013, is a dominant participant in the Indian electric two-wheeler sector. In April, the startup registered 4,052 two-wheeler electric vehicles (EVs).
The company recorded a 150% increase in net loss to INR 864.5 Cr in fiscal year 2022-23 (FY23), up from INR 344.1 Cr the prior year. Revenue from operations increased 4.3 times to INR 1,783.6 crore during the fiscal year under review, from INR 408.5 crore in FY22.
