Ather Energy IPO Closes Today – Last Chance to Subscribe; Key Details and Price Insights

By | April 30, 2025

Today marks the final day for investors to subscribe to Ather Energy’s Initial Public Offering (IPO). If you’re interested in the electric vehicle sector and want to explore the opportunities within India’s rapidly growing EV market, this is your last chance before the IPO window closes. Ather Energy, a major player in the electric scooter industry, is generating a lot of buzz as it prepares for its public listing. The company’s decision to go public coincides with the expansion of India’s electric vehicle (EV) market, with more people seeking sustainable transportation alternatives. But what should potential investors know before taking the plunge?

Ather Energy IPO Details

Ather Energy is raising funds through its IPO, offering shares in the price range of Rs 304 to Rs 321 per share. This price band has caught the attention of retail investors and institutional buyers alike. Many are looking at the grey market premium (GMP) to gauge how the IPO might perform once listed. The price range allows investors to subscribe at either Rs 304 or Rs 321, providing flexibility.

For retail investors, the company has set aside a portion of the offering at a discounted price, aiming to make the IPO more attractive. Ather Energy’s IPO size stands at approximately Rs 1,300 crore, and the company intends to use the funds for expansion, research and development, and other corporate purposes.

The Growing EV Market: Why Now Is a Good Time for Ather

Ather Energy’s IPO comes at a time when the Indian electric vehicle market is experiencing rapid growth. With fuel prices rising and people becoming more eco-conscious, demand for electric scooters and vehicles has soared. The Indian government has also set ambitious targets to promote EV adoption, providing incentives for both manufacturers and consumers.

This growing market creates a favorable environment for Ather, which produces premium electric scooters such as the Ather 450X. Known for their performance, range, and cutting-edge features, Ather’s scooters have captured the interest of tech-savvy, urban commuters. As the demand for electric vehicles rises, Ather Energy aims to capture a larger share of this expanding market.

Grey Market Premium (GMP) – What Does It Indicate?

Investors in the grey market have been trading Ather Energy’s unlisted shares around Rs 322 per share. This price is slightly higher than the issue price band of Rs 304-321, indicating a small grey market premium (GMP) of Rs 1. While the premium is modest, it reflects cautious optimism about the company’s future growth.

The grey market provides investors with an informal way to gauge market sentiment ahead of an IPO. Though the GMP doesn’t guarantee performance on the exchanges, it gives a sense of investor confidence. For Ather Energy, the relatively low GMP suggests that while there’s some confidence in the company’s future, investors are not expecting an explosive debut.

Ather Energy’s Long-Term Growth Prospects

Ather Energy’s prospects are closely tied to the overall growth of India’s electric vehicle market. As more consumers turn to electric mobility solutions, the company aims to capitalize on its strong brand presence and growing customer base. Ather is one of the leaders in the premium electric scooter segment and plans to expand its product offerings to meet the rising demand.

The funds raised through the IPO will help Ather accelerate its production capacity, enhance its technology, and expand its charging infrastructure across India. The company’s strong customer loyalty and reputation for delivering high-performance scooters position it well for long-term growth.

Risks and Challenges for Potential Investors

While Ather Energy shows considerable potential, investors should be aware of the risks involved, especially in a rapidly changing market. Here are some key factors to consider before subscribing:

  • EV Market Growth: Ather’s success depends on the broader growth of the EV market in India. While the sector is growing, it still faces challenges, such as the development of charging infrastructure, higher vehicle costs, and consumer education.
  • Financials and Profitability: Ather Energy is still in its early stages of profitability. It has been investing heavily in research and development and scaling up its operations. While the company has ambitious plans, it’s crucial to monitor how effectively it can convert its growth plans into profits in the future.
  • Competition: Ather faces stiff competition from well-established companies like Bajaj Auto, Hero Electric, and Ola Electric. These companies have large resources and an established customer base, which could make it harder for Ather to expand its market share.
  • Government Regulations: Changes in government policies or subsidies for EV manufacturers could have a significant impact on Ather’s business. Investors should stay updated on regulatory developments that could influence the company’s growth trajectory.

Should You Invest in Ather Energy’s IPO?

As the IPO window closes today, potential investors need to carefully assess the opportunities and risks before making a decision. Ather Energy’s growth prospects look promising, but it’s important to remember that all investments come with some level of risk, especially in a nascent industry like electric vehicles.

While the company’s strong brand, innovative products, and expanding customer base offer great potential, Ather must navigate several challenges to achieve sustainable long-term growth. The IPO’s moderate grey market premium suggests cautious optimism, but investors should evaluate their risk tolerance and long-term goals before subscribing.

Conclusion: A Moment of Opportunity

Ather Energy’s IPO represents a significant opportunity for those looking to invest in the growing electric vehicle market in India. The company’s innovative approach to premium electric scooters, coupled with its plans for future expansion, positions it as a strong player in the EV sector.

However, like any investment, Ather Energy’s IPO comes with its own set of risks and challenges. If you’re considering subscribing, take the time to review all the details, understand the market sentiment, and align the investment with your goals. This is your last chance to act before the IPO closes today, so make sure to weigh all the factors carefully before making a decision.