Founded in 2013, electric scooter manufacturer Ather Energy has received an investment of INR 84 crore from the world’s largest maker of motorcycles and scooters Hero MotoCorp. The Bengaluru-based EV startup has said that this fresh investment from Hero MotoCorp is an extension of its Series C round.
According to Ather Energy, it will use the new investment to support its national expansion, meet increased demand, and improve its facilities. The company is now entering an aggressive expansion phase leading on the shoulders of its flagship product, the Ather 450X. The EV-maker is also looking to expand its reach to 20 cities by the end of next year. The Ather 450X will soon be available in cities like Hyderabad, Pune, Delhi and Mumbai. The deliveries of the electric scooter will begin from October 2020.
Speaking on this joyous occasion, Tarun Mehta, co-founder and CEO, Ather Energy, said:
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. Our geographic expansion and the roll-out schedule for the Ather 450X are on track, and we will be using these funds to invest in our facilities to meet the demand we have seen for the Ather 450X across the country.
To meet the projected demand in the coming years, Ather Energy is opening a new manufacturing facility in Hosur, which is designed to produce 1,00,000 units annually and is scalable to half a million units. The company is also looking to expand the presence of its Ather Grid fast-charging stations across the country over the next five years.
Rajat Bhargava, head of emerging mobility business unit (EMBU), global business and strategy, Hero MotoCorp, said:
We are excited to see the growth of Ather Energy in recent years. We see immense potential for them to expand their market even further, especially given the likely growth of electric vehicles (EV) in the near future.
Apart from working on its domestic expansion, Ather Energy is looking for ways to grow its network in the global markets, too. It was already in talks with representatives of a few Southeast Asian countries, however, the Covid-19 pandemic pushed matters off schedule. The company has plans to enter at least two international markets by March 2021.