News
Bangalore-based electric scooter maker Ather Energy has received approval from the Securities and Exchange Board of India (SEBI) for its initial public offering (IPO).
According to the draft red herring prospectus, the proposed IPO includes fresh equity shares worth up to Rs 3,100 crore and an offer for sale of up to 2.2 crore equity shares by existing shareholders. The company has set a valuation target of US$ 2-2.25 billion.
The company says the proceeds from the fresh issue will be used to set up an electric 2-wheeler manufacturing unit in Maharashtra. It will help fund research and development and will also be utilised for marketing and the repayment of borrowings.
Ather Energy will be the second EV maker in India to go public, after Ola Electric. Hero MotoCorp, which has a 37.2% stake in the company, will not sell shares in the IPO.
Source: ET Auto