The electric two-wheeler (E2W) market has been rapidly growing, with a total of 89,940 units sold in September 2024. The upcoming festive season is expected to boost these sales even further. According to industry reports, Ather Energy has achieved remarkable success during this festive season, selling over 20,000 units by October 30, 2024. Additionally, the company recorded its highest monthly dispatches in October, reaching 20,000 scooters.
Ather’s new scooter, the Rizta, has been a significant contributor to these impressive sales figures. In September 2024, Ather’s total domestic dispatches amounted to 16,582 units, with the Rizta accounting for 9,867 of those. This demonstrates the crucial role the new scooter plays in Ather Energy’s success.
Ather Rizta: An ace up the sleeve
Ather Energy has established itself as a significant player in the electric two-wheeler (E2W) segment and the introduction of the Rizta could be the edge they needed over its competition. Unlike the 450 portfolio, the Rizta is a mass-market product, contributing 60 to 70 per cent of the company’s total monthly sales. While Ather Energy has traditionally dominated the South, the Rizta has enabled expansion into North India, capturing markets in Delhi, Rajasthan, and Gujarat, while also making steady inroads into Maharashtra, the home turf of Bajaj Chetak.
In retail, Ather Energy has surpassed the 20,000 units sold, an increase from the 12,828 vehicles sold in September. This growth reflects a significant increase in market share, climbing from 7.9 percent in July to 14.3 percent in September.
Ather Energy: What next?
With demand skyrocketing, Ather Energy has expansion plans, which include setting up a new manufacturing plant in Chhatrapati Sambhaji Nagar, Maharashtra. This will be the company’s second facility, following the one in Hosur, Tamil Nadu. Last month, Ather Energy filed for an initial public offering (IPO) to raise Rs 3,100 crore, including an offer for sale (OFS) of 2.2 crore equity shares by promoters and investor shareholders, as detailed in the draft red herring prospectus (DRHP).
CEO Tarun Mehta and co-founder Swapnil Jain will be selling up to 1 million shares. Meanwhile, Hero MotoCorp will retain its 37.2 per cent stake in Ather Energy and will not sell its shares during the IPO.
