Ather Power, the Indian startup manufacturing electrical two-wheelers, has reduce the dimensions of its preliminary public supply by 18% to 26.26 billion Indian rupees ($308.3M), in accordance with a new draft prospectus filed Tuesday.
The Bengaluru-based startup confirmed to TechCrunch it’s concentrating on a post-money valuation of $1.4 billion. Final September, the startup sought a valuation of between $1.5 billion and $2 billion, TechCrunch reported on the time.
Ather cited market situations for trimming its IPO dimension and goal valuation.
Current Ather shareholders will promote 11.1 million shares, down from the 22 million shares talked about in its final yr’s draft prospectus. Bidding for Ather shares will open for 3 days beginning April 28; anchor traders are set to take part in a personal placement on April 25.
Ather co-founders Tarun Mehta and Swapnil Jain in addition to Nationwide Funding and Infrastructure Fund Restricted (NIIF) and Tiger International Administration’s Web Fund III plan offload their stakes within the IPO, in accordance with the draft prospectus. Nonetheless, the Indian two-wheeler large Hero MotoCorp, which owns over 40% of the startup, won’t promote its shares.
Ather mentioned it should use 9.27 billion Indian rupees ($108.8 million) from the web proceeds to arrange an electrical two-wheeler facility in Maharashtra. One other 7.5 billion rupees ($88 million) can be invested in analysis and growth and three billion rupees in advertising initiatives. The startup may even use 400 million Indian rupees ($4.7 million) to repay its borrowings.
The startup noticed a 21% improve in gross sales in 2024, reaching 126,353 items, in accordance with authorities knowledge. It commanded a ten.7% market share that yr, per the CRISIL Report referenced within the draft prospectus.
Included in 2013, Ather launched its first electrical two-wheeler in 2018. The startup reported it generated 15.79 billion Indian rupees ($185.4 million) in income within the 9 months ended December, with a internet lack of 5.78 billion Indian rupees — down from 7.76 billion Indian rupees ($91.1 million) a yr earlier.
Ather’s rival Ola Electrical — which held a 34.1% market share final yr — listed on the Indian inventory exchanges final yr. Ola debuted with a report 20% surge, the most important itemizing by an Indian agency in two years. Nonetheless, its share value has since declined by practically 42%, closing at 53.02 Indian rupees Tuesday.