Ather Energy’s Initial Public Offering (IPO) made its debut on Dalal Street today, marking a significant event in the electric vehicle (EV) sector. The IPO was open from April 28 to April 30, 2025, and saw a subscription rate of 1.43 times overall, with retail investors leading at 1.45 times subscription.
To understand the key financial details and strategic plans from the IPO, here is a simple overview:
| Detail | Information |
|---|---|
| IPO Price Band | ₹300 – ₹321 per share |
| Total Funds Targeted | ₹2,969 crores |
| Fresh Issue | ₹2,626 crores |
| Offer for Sale (OFS) | ₹353 crores |
| R&D Investment Allocation | ₹750 crores |
| New Manufacturing Plant (Maharashtra) | ₹927 crores |
| Current Plant Utilization | 40% |
Ather’s Big Launch: Growing Fast, But With Some Risks
Ather Energy recently launched a new family scooter model called the Ather 450X. This model has significantly expanded Ather’s market, now contributing to 50% of total sales. In the first nine months of FY2025, the company sold about 1 lakh scooters, with the 450X playing a major role in attracting a new group of customers.
However, there are concerns regarding the company’s valuation. The IPO is priced at a price-to-sales ratio of 5.7 times, which is higher than Ola Electric’s 4 times a company whose stock has fallen 60% from its peak. Ather is currently operating at a negative EBITDA margin of about 20% and reported a net loss of ₹577 crores in the first nine months of FY2025. This cautious financial picture may have affected the market’s response to the IPO.
Despite these challenges, the IPO is seen as promising. Ather Energy is now the fourth-largest EV company in India. Its focus on R&D and building a new manufacturing facility shows that it is preparing for future demand. The market will be watching closely to see how it performs against strong competitors like Ola Electric.
In summary, Ather Energy’s IPO launch shows a mix of confidence in innovation and caution over financial stability. Its strategic investments suggest readiness for growth, but profitability and competition will shape its path ahead.
FAQs
What is Ather Energy IPO GMP today?
The Grey Market Premium (GMP) for Ather Energy shares today is approximately ₹14, indicating a 4.4% premium over the issue price of ₹321. This suggests moderate investor optimism ahead of the listing.
What is the Ather Energy share price target?
Analysts have set a target price of ₹1,062.80 for Ather Industries Ltd., reflecting a potential upside of about 29% from the current price of ₹803.05.Â
What is Aether Industries?
Aether Industries Ltd. is a specialty chemicals company listed on the NSE and BSE. It is not related to Ather Energy, the electric scooter manufacturer. Aether Industries’ stock is currently trading at ₹803.05.
What is the Ather Energy share price history?
As of today, Ather Energy shares are listed at ₹328 on the National Stock Exchange of India, slightly above the offer price of ₹321.
What is the price of Ather scooters?
Ather’s electric scooters, such as the 450X, are priced between ₹1,49,047 and ₹1,79,046, depending on the variant.Â
What is Ather Energy’s valuation?
At the IPO price of ₹321 per share, Ather Energy’s post-money valuation is approximately ₹11,955.65 crore (about $1.4 billion).
