If you are following EV space buzz, the Ather Energy IPO is hard to miss. Ather Energy, the leading Indian electric two-wheel (E2W) manufacturer, is colliding with the public market with a considerable IPO. This article covers Ather Energy IPO, details, investment reasons, risk factors, Gray Market Premium (GMP), and the final review and conclusion.
About Ather Energy Limited
Founded in 2013, Ather Energy Limited is an electric motorcycle manufacturer based in Bengaluru. Known for flagship models like The Ather 450X, the company is vertically integrated and handles everything from design and assembly to battery technology and charging infrastructure.
Their product ecosystem includes their own Atherstack software and Ather Grid, a fast charging network. As of December 2024, Ather operates 265 experience centres and 233 service centres across India, expanding to Nepal and Sri Lanka.
In 2024 alone, they sold electric motorcycles worth over Rs 1.09 lakh.
Competitiveness
- Strong brands and premium positioning: Ather is synonymous with a premium electric scooter.
- Vertical integration operations: Control quality and innovation.
- Unique Technology Stack: 64 Connected features via Atherstack.
- Pan India Charging Network: Ather Grid is a strong moat.
- R&D Focus: Important IPs with 303 trademarks, 201 designs and 45 patents are registered.
More about Ather Energy IPO
- IPO Opening Date: April 28, 2025
- IPO close date: April 30, 2025
- Face value: 1 pound per share
- Price band: 304-321 pounds per share
- Lot size: 46 shares
- Minimum retail investment: £14,766 (cutoff price)
- Total question size: £2,980.76 Cr
- Fresh Question: £2,626 Cr
- OFS: £354.76 Cr
- list: BSE & nse (tentative) on May 6, 2025
- Employee discounts: £30
Finance (£cr)
| period | Revenue | Put | assets | Net assets |
|---|---|---|---|---|
| FY2022 | 413.8 | -344.1 | 818.6 | 224.9 |
| FY2023 | 1,801.8 | -864.5 | 1,976.8 | 613.7 |
| FY2024 | 1,789.1 | -1,059.7 | 1,913.5 | 545.9 |
| 9M FY25 | 1,617.4 | -577.9 | 2,172 | 108 |
While revenues are growing, Ather is still generating losses, indicating heavily invested in scaling and R&D.
IPO objects
- New E2W Factory is installed in Maharashtra
- Repayment of debt
- Investing in R&D
- Marketing costs
- General business purposes
P/E ratio and peer comparison
- Ather Energy IPO price band: £304 – 321
- EPS after publication: £-20.69
- Post-issue P/E: NA (as loss continues)
- Price to book value: 13.38
Friends like Ola Electric (Private), Bajaj Auto and TV are profitable, and Ather is a risky investment based on current finances.
Why invest
- Entering the fast-growing EV sector: India’s EV market is projected to grow rapidly due to government support and rising fuel prices.
- Strong brand recognition: Ather carved a niche at the premium electric scooter market.
- High-tech-led company: We provide software-defined products with unique features.
- Expanding market presence: Its presence in India and South Asia indicates international potential in the future.
- Government Incentives: The EV sector benefits from fame II and state-level grants.
- Robust infrastructure: Ather grid and in-house battery production provide an edge.
- Support from Hero Motocorp: Key stakeholders lend credibility and potential synergy.
Risk factors
- Business that adds losses: Ather recorded consistent losses.
- High rating despite negative revenue: Post-issuance P/E is meaningless due to continued losses.
- Tough competition: From incumbents like new players like Bajaj, TVS, and Ola Electric.
- Technology risk: The fast pace of EV innovation can make current technology obsolete.
- Capital-intensive model: The large investments needed for R&D, marketing and capacity expansion.
- Policy dependence: EV demand is driven in part by subsidies that could be reduced or removed.
- IPO dilution: The stocks after the promoter IPO will be significantly reduced.
Ather Energy IPO GMP
Currently, Ather Energy IPO’s GMP hovered at around 40-45 pounds, indicating moderate demand in the grey market.
How do I apply for an Ather Energy IPO?
You can apply via.
- Online banking through ASBA
- upi via broker apps such as Zerodha, Grow, Upstox.
- Please make sure your UPI Mandate is approved by 5pm on April 30th, 2025
Should I invest in an Ather Energy IPO?
The Ather Energy IPO brings the excitement of the EV revolution to major markets. However, this is a classic case of a highly-growing company. Investors with high-risk appeal and long-term vision may consider investing. Conservative investors may prefer to wait until Asler makes a profit.
Ather Energy IPO FAQ
- What is today’s Ather Energy IPO GMP?
Approximately 40-45 pounds based on current trends in the gray market. - Is Ather Energy a profitable company?
No, the company is still owing a loss. - What are lot sizes and minimum investments?
The lot size is 46 shares. The minimum investment is about. £14,766. - When will Ather Energy IPOs be listed?
The provisional list date is May 6, 2025. - What are the main risks of investing in this IPO?
Companies that add losses, competitive sector, high ratings. - Can I apply it using the UPI?
Yes, retail investors can use the UPI app to apply under the ASBA. - How is Ather different from Ola Electric?
Ather highlights premium quality, proprietary technology and the Pan-Indian Charging Network.
Disclaimer: This article is for educational purposes only and should not be considered investment advice. Please consult your financial advisor before investing in such an IPO.
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