Hero MotoCorp has approved the purchase of additional equity shares of up to Rs 1,758 crore in associate company Ather Energy, following which the two-wheeler’s stakeholding in Ather will increase to 32.8%, the company announced on Thursday.
The transaction is expected to be completed by September 3, the company said in its exchange filing. As of August 25, Hero MotoCorp holds a 29.88% stake in Ather Energy on a fully diluted basis.
Hero MotoCorp is an existing shareholder in Ather, and the company has clarified that the transaction does not fall within the ambit of related party transactions, and the promoters/ promoter groups of the two-wheeler manufacturer have no additional interest in Ather.
Multiple investments by Hero MotoCorp in Ather
In July, Hero MotoCorp had approved an investment of Rs 1,000 crore in electric two-wheeler maker Ather Energy through the subscription to equity shares or other convertible securities, which were issued by Ather on a preferential basis.
The investment was made entirely in cash and was completed within a span of 15 days. Prior to the July investment, Hero MotoCorp held a stake of 29.48% in Ather.
With the latest round of investment, the company’s stake in Ather would stand at 32.8%, making it the largest stakeholder in Ather Energy.
Hero MotoCorp- Ather Energy share price
Hero MotoCorp ended Thursday’s trade flat on the NSE at Rs 5,550. Over the past one month, its stock has delivered a return of 7%, while over the past six months, its share price has been trending flat on the exchanges.
Ather Energy ended Thursday’s trading session flat on the NSE at Rs 1,495.30. Over the past one month, its stock has advanced around 24%, while over the past six months, its share price has generated a whopping return of 120%.
About Hero MotoCorp
Hero MotoCorp is one of the largest two-wheeler manufacturing companies in India, in terms of volume sales. It is based in New Delhi, India.
About Ather Energy
Ather Energy is primarily engaged in the business of designing and manufacturing electric two-wheelers and operating storage distribution systems. The company reported a turnover of Rs 3,671.76 crore in FY26, up from Rs 2,255 crore in FY25 and Rs 1,753.8 crore in FY24.