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Hero MotoCorp puts ₹1,000 crore more into Ather Energy
Hero MotoCorp committed up to ₹1,000 crore to Ather Energy via preferential securities, deepening its dual-brand EV strategy as VIDA gains share and Ather's revenue hit ₹3,671 crore.
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Hero MotoCorp approved an investment of up to ₹1,000 crore in Ather Energy through a preferential issue of equity shares or other eligible securities, the company said in a Tuesday regulatory filing. The deal is subject to approvals from Ather's board and shareholders.
The capital could come as equity shares, compulsorily convertible preference shares, warrants, or other securities convertible into equity, the filing said. Hero currently owns 29.48% of Ather on a fully diluted basis. The final stake after the investment will depend on the pricing and size of the allotment.
Why Hero is doubling down
Ather is not a passive bet for Hero. The Bengaluru-based electric scooter maker has built a premium franchise and is expanding into charging infrastructure, battery management, and energy services. Its revenue hit ₹3,671.76 crore in FY2025-26, up from ₹2,255 crore the prior year and ₹1,753.8 crore two years ago, the filing showed.
Hero's strategy splits electric mobility across two tracks. The company's own VIDA electric scooter business ended FY2025-26 with a 10.2% market share, gaining six percentage points during the year. VIDA and Ather are expected to target different parts of the two-wheeler market rather than compete head-on, according to the company's framing.
CEO Harshavardhan Chitale told shareholders in the FY2025-26 annual report that Hero sees its "continued partnership with Ather Energy" as part of its broader push into connected technologies, low-emission powertrains, and digital capabilities. The annual report described the Ather investment as a way to build "a leading, comprehensive EV portfolio across multiple categories" alongside VIDA.