Hero MotoCorp announces it will invest up to Rs 1,000 crore in electric two-wheeler maker Ather Energy through a preferential allotment. The boards of Hero and Ather are involved, and the investment is subject to required approvals, including those from Ather’s board and shareholders. Hero’s statement says it will subscribe to Ather’s equity shares or other eligible securities, which may include compulsorily convertible preference shares and warrants, issued on a preferential basis. The transaction is planned to be funded entirely in cash and is expected to be completed within about 15 days after Ather receives the final set of approvals. The sources also note Hero already holds a 29.48% stake in Ather on a fully diluted basis as of June 30, 2026, and that the final shareholding after the preferential issue will depend on the pricing of the securities and any further issuances approved by Ather. In response to the development, Ather Energy shares rise by around 6% in the latest reported trading session. Hero characterizes the investment as arm’s-length despite Ather being a related party, and Ather operates across electric scooter manufacturing, charging infrastructure, and battery energy management services.
Hero MotoCorp to invest up to Rs 1,000 crore in Ather Energy; Ather shares rise
Hero MotoCorp announces it will invest up to Rs 1,000 crore in electric two-wheeler maker Ather Energy through a preferential allotment. The boards of Hero and Ather are involved, and the investment i...
- Hero MotoCorp approves an additional investment of up to Rs 1,000 crore in Ather Energy via a preferential allotment.
- Hero plans to subscribe in cash to Ather equity shares and/or other eligible securities, including compulsorily convertible preference shares and warrants.
- The investment is subject to approvals, including Ather’s board and shareholders, and is expected to complete within about 15 days after Ather receives the last approvals.
- Hero is already Ather’s largest shareholder, holding 29.48% stake on a fully diluted basis as of June 30, 2026; final post-investment shareholding depends on pricing and any further issuances.
- Ather’s shares increase by about 6% following the announcement.
Ather Energy shares jumped on Wednesday after Hero MotoCorp approved an additional investment of up to Rs 1,000 crore in the EV maker through a preferential allotment, reaffirming its long-term commitment to the company.
6 hours agoHero MotoCorp on Tuesday announced its invetsment of Rs 1,000 crore in electric two-wheeler maker Ather Energy through a preferential allotment, deepening its commitment to the EV company in which it is already the largest shareholder.The company's Board approved the subscription to equity shares or other eligible securities, including compulsorily convertible preference shares and warrants, to be issued by Ather on a preferential basis. The investment is subject to necessary approvals, including those from Ather's board and shareholders.Also read: Ather Energy to unveil mass-market electric scooter in AugustHero MotoCorp currently holds a 29.48% stake in Ather on a fully diluted basis as of June 30, 2026. The final shareholding after the investment will depend on the pricing of the preferential issue and any subsequent issuance of securities approved by Ather's board.Ather Energy designs, manufactures and sells electric two-wheelers and operates charging infrastructure and battery energy management services. The company reported a turnover of Rs 3,671.76 crore for the financial year ended March 31, 2026.Hero MotoCorp said the transaction, which will be made entirely in cash, is expected to be completed within 15 days of Ather receiving the last of the required approvals. The company added that while Ather is a related party as an associate company, the investment will be undertaken on an arm's-length basis.
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