Ather Energy shares surged as much as 9 per cent on Wednesday to a record high after Hero MotoCorp approved an additional Rs 1,000 crore investment in the electric scooter maker, reinforcing investor confidence in the company's growth prospects and deepening the automaker's long-term commitment to its EV business.
The stock climbed to an intraday high of Rs 1,290.10, its highest since listing, before paring some gains as investors reacted to Hero MotoCorp's board approval to subscribe to equity shares or other eligible securities to be issued by Ather through a preferential allotment.
The investment will be funded entirely in cash. It will be made through a preferential allotment of equity shares and other eligible securities, including convertible preference shares (CCPS) and warrants, subject to the necessary approvals.
Hero MotoCorp held 29.48 per cent of Ather Energy's paid-up share capital on a fully diluted basis as of 30 June 2026, according to the company's exchange filing. The final shareholding after the proposed investment will depend on the pricing and structure of the preferential allotment.
The proposed funding will be routed through a preferential allotment of equity shares and other eligible securities, including compulsorily convertible preference shares (CCPS) and warrants, subject to the necessary corporate and regulatory approvals.
The latest funding comes as Ather continues to expand its manufacturing capacity, retail footprint and charging infrastructure amid intensifying competition in India's electric two-wheeler market. Founded in Bengaluru, the company reported a turnover of Rs 3,671.76 crore for the financial year ended 31 March 2026.
Hero MotoCorp, India's largest motorcycle manufacturer by volume, has backed Ather since 2016 and has steadily increased its exposure to the EV maker as it seeks to strengthen its position in the country's fast-growing electric mobility market.
The announcement extended Ather's post-listing momentum, with investors betting that the fresh capital will support the company's next phase of growth while reaffirming Hero MotoCorp's strategic confidence in the business. |
