On April 28, 2025, Ather Energy, one of the leading EV startups in India, will undertake its initial public offering (IPO), marking a significant milestone in the EV industry. In the midst of a cooling IPO environment, this IPO, which has a price range of ₹304 to ₹321 per share, is more than simply a financial event; it’s a gauge of investor confidence in India’s cutting-edge mobility firms.
Credits: Fortune India
Let’s unpack what this offering means for Ather, investors, and the market at large.
The First Big IPO in Months: What’s at Stake?
Ather’s IPO will be India’s first major public listing in nearly two months, breaking a dry spell in the capital markets. After a blockbuster 2024, where companies raised a record ₹1.6 lakh crore via IPOs, 2025 has seen only ₹15,722 crore raised across nine deals so far.
That makes Ather’s public debut a significant bellwether. As Rajesh Palivya of Axis Securities put it, “The secondary markets are rallying again, and foreign investors are cautiously returning. But most IPO-hopefuls are watching Ather’s listing very closely before deciding their next move.”
IPO Timeline and Offer Details
Ather’s IPO will open for anchor investors on April 25, followed by a three-day public subscription window from April 28 to April 30. The basis of allotment will be finalized on May 2, and the company plans to list on Indian stock exchanges by May 6.
The offer includes:
Fresh issue of ₹2,626 crore
Offer for sale (OFS) of up to 1.1 crore shares, amounting to ₹354.76 crore at the upper price band
Together, the total issue size stands at ₹2,980.76 crore, down from the previously planned ₹4,000 crore.
Valuation Trimmed—A Red Flag or Smart Strategy?
When Ather filed its draft red herring prospectus (DRHP) in September 2024, it was eyeing a valuation close to $2.5 billion. But with markets turning cautious and sentiment cooling, it has since trimmed that to about $2.4 billion, translating to a post-issue valuation of ₹11,956 crore.
The revision, along with the last-minute downsizing, has raised eyebrows. Independent analyst Jayant Mundhra commented, “Multiple valuation cuts and a rushed timeline suggest a sense of urgency. This could worry some investors, especially those looking for stability and strategic patience.”
Still, some argue that timing the market before the next general election cycle and staying ahead of regulatory or competitive shifts might be a calculated decision rather than desperation.
Financials Show Progress, But Losses Persist
Ather’s financials offer a mixed bag:
Revenue (April–December 2024): ₹1,578.90 crore (vs ₹1,230.40 crore in the same period last year)
Net loss narrowed to ₹577.90 crore from ₹776.40 crore a year earlier
The revenue growth is healthy, especially as EV adoption gains traction in India. However, the company is still far from profitability, and sustaining investor faith will depend on how quickly Ather can improve margins and scale production.
EV Stocks in India: A New Frontier
With this IPO, Ather Energy becomes India’s second pure-play EV manufacturer to go public, following Ola Electric’s listing last year. This offers investors a rare opportunity to bet directly on India’s transition to sustainable mobility.
While Ather has built a strong brand and charging network, competition from Ola Electric, Bajaj, TVS, and Hero MotoCorp remains stiff. That makes product innovation, cost control, and ecosystem expansion key battlegrounds.
Credits: MoneyControl
Final Thoughts: Should You Subscribe?
Retail investors can gain exposure to a high-growth, high-risk electric vehicle company with great technology, brand equity, and a devoted clientele through Ather’s initial public offering (IPO). However, investors with a long-term horizon and a high tolerance for risk may find this more appropriate given the loss-making position and value volatility.
Ather’s IPO could either serve as a landmark for startup-led disruption or serve as a warning against making an early public debut at a time when India is at the cusp of a mobility revolution. We’ll find out in the coming weeks.
