Electric Scooter Maker Company Arther Energy Pvt Ltd raises $11.21 Million (approx 84 crores) from Hero MotoCrop as a part of Series C funding round.
India’s largest maker of two-wheelers – Hero MotoCrop Ltd will increase the stake of the startup from 34.58% to 38.57%.
In the last year’s Series, C funding round the company collected $51 million (approx 354 crores). It was led by the co-founder of E-Commerce Flipkart Sachin Bansal whoo himself invested $19 million in Ather energy in the form of debentures in 2018 which converted the debt into equity as a part of that round.
Ather Energy Pvt Ltd
Ather Energy, founded in 2013 by two IIT Madras Graduates- Tarun Mehta and Swapnil Jain
They are planning to build S340 and are also planning to contribute to the growth of the whole industrial sector with new technological trends, platforms and whole new infrastructure. It will not only work to build just few products but also will work for the entire ecosystem with a vision of longer sustainability.
The company is looking forward to launching 450X in the fourth quarter of this year with the vision of expanding the operations in 20 cities by the end of the next year.
Ather Energy is also working to set up a new manufacturing unit in Hosur, Tamil Nadu with the plan that this unit will be capable of producing 1 lakh units every year and be scalable up to 5 lakh units per year.
In 2015, the company gained funding from US-based investor Tiger Global of about $12 million which is about 75crores.
With the new funding received from Hero MotoCorp, the company will invest all the raised funds in its facilities and making their products and service more efficient and reliable.
“We are in a high-growth phase of our journey, and while the last few months have been challenging, we have not altered our expansion plans” said Tarun Mehta, the co-founder of Ather Energy. The company will focus right now to maintain their offered facilities and after that, it will look into the part of the expansion.
The Head of Emerging Mobility Business Unit Hero Motocorp – Rajat Bhargava showed faith and confidence in the investment of Hero MotoCorp in Ather Energy Pvt Ltd and sees complete potential in the company for energy owing to the growth of EV.
Ather Energy is also aiming to set up charging grid points across India in the next 5 years in order to make EV infrastructure accessible to people.
Other Investments in EV Manufacturers
Earlier, Hero MotorCorp invested in the Electrical Vehicle manufacture during its series B round in 2016.
Hero MotoCorp is one of the oldest manufacturing companies to make bets on EV makers.
Famous TVS motors have also invested in Ultraviolette Automotive Pvt Ltd.
In the starting month of July 2020, Mumbai-based engineering company Greaves Cotton Ltd received the second EV maker for the company.
Earlier in 2018, Greaves Cotton Pvt Ltd received electric two-wheeler maker Ampere from clutch of investors such as Tata Sons chairman emeritus Ratan Tata and Infosys co-founder Kris Gopalakrishnan, all the big names and brands of Indian origin.