Hero invests Rs. 205 crore in Ather Energy

Hero MotoCorp has invested Rs. 205 crore in a Bangalore-based electric two-wheeler start-up named Ather Energy. The Indian two-wheeler manufacturer revealed this new investment after its board sanctioned the said amount, terming it a strategic investment. Hero is looking at controlling approximately 26-30% of shares in the start-up through this new funding round.

Ather Energy was formed in 2013 by IIT Madras graduates Tarun Mehta and Swapnil Jain. It focuses on electric mobility with the aim of bringing connected electric vehicles within reach of the masses. The founders claimed that there won’t be any changes to the company's planned portfolio and way of working after the new round of funding.

Ather Energy had earlier received a funding of USD 12 million from Tiger Global. This sum was used in the research and development of the company's first electric scooter - the Ather S340. The S340 is powered by a lithium-ion battery, and is built on an aluminium frame. It was unveiled in February, 2016. The S340 has a company claimed top speed of 75 km/h. With the latest round of funding, Ather Energy is now planning to build a manufacturing plant with a capacity of 10,000 units, which can be scaled up as per demand.

Source: Car and Bike