Introduction

One Indian company from Bangalore called Ather Energy has done a fantastic job of bringing electric scooters to life! When its value reaches Rs 1000 crores and above it is named the ‘unicorn’ company.

How did all this happen? Formed a few years back, a big company by the name of the National Investment and Infrastructure Fund (NIIF) pumped Rs 710 crore into Ather Energy. They will help the company to improve the scooters and spread the benefits to the customers.

Ather Energy began its journey in 2013, and in a short period, it has emerged as one of the best electric scooter manufacturing companies. This company manufactures high-quality and unique scooters, and they also have the conscience to preserve the environment.

This new money will make Ather Energy even stronger and contribute to improving the trend of electric vehicles in India. This is a perfect start; with this, more companies can transition to making electric vehicles.

The Rise of Ather Energy

Ather Energy was founded in the year 2013. Co-founded by two friends, Tarun Mehta and Swapnil Jain, the company is focusing on innovation. They both being from IIT Madras IITian were well acquainted with each other at that time. He and she both felt that how the vehicles are being used in India must not be like that.

During that time, pollution and traffic congestion were rife coupled with an increase in the prices of petrol and diesel. With all these things in mind, they came up with Ather Energy which was initially a small company but expanded very quickly because they used good vehicles.

The Early Years: Struggles and Triumphs

Like other startups, Ather Energy also faced many challenges in the beginning. The electric vehicle market in India was still new. People did not know much about electric vehicles and they felt that these vehicles would not last long. But Ather Energy did not give up and focused on making good quality vehicles.

In the year 2016, Ather Energy launched its first vehicle, Ather 450. This electric scooter was very good in terms of its performance, design, and technology. It had features like a touchscreen dashboard, cloud connectivity, and automatic updates. This vehicle started a new beginning in the electric vehicle market and made Ather Energy a strong company.

Expansion and Product Evolution

After the success of Ather 450, the company focused on making even better vehicles. In the year 2020, they launched the Ather 450X, which was even better than the Ather 450. It had even better features and it could go farther than before. This vehicle was liked a lot by the people living in cities.

Ather Energy also started building charging stations, which are called Ather Grid. This has made people not afraid that the battery of the vehicle may run out.

The $71M NIIF Investment

For Ather Energy, a very happy news came in August of the year 2024. A leading investment firm in India, the National Investment and Infrastructure Fund (NIIF) pumped in $710 million for a stake in Ather Energy. This took the valuation of Ather Energy to almost a billion dollars making it a very large firm.

Understanding NIIF’s Role

NIIF is a company that was established by the Government of India. This company has invested in the development of infrastructure in the country such as roads, rail, electricity, and many others NIIF holds a strong opinion that electric vehicles are critical for the future of India.

That is why they put money into something like Ather Energy, a renowned electric two-wheeler manufacturing company.

Why Ather Energy?

Ather Energy has manufactured very good vehicles in a very short period and has been very instrumental in making people aware of electric vehicles. The company has also established charging depots which makes it convenient for people to charge the vehicle.

For all these reasons, NIIF invested money in Ather. This proves that electric vehicles have tremendous potential in the Indian market in the future.

Implications of the Investment

Out of the $710 million received from NIIF, it is not an act of mere playing money. This will help Ather a lot to move forward and do new work.

1. Accelerating Product Development

More money means that Ather can build new vehicles and expand its fleet. It intends to manufacture such vehicles that most and even everyone likes. That is, it will also make cheap vehicles so that every individual can own an affordable electric vehicle.

In addition to this, the company will also improve on its old models of vehicles. It will attempt to increase the distance that the vehicles can travel and improve the battery. This will make the company gain even more points in the market and get a higher ranking in the market.

2. Expanding Charging Infrastructure

Another way in which there are more EVs is that they have fewer places to charge them in India. Ather has already done something in this direction and has developed charging stations known as Ather Grid.

But now getting more money, they would establish charging stations all over the country, especially in small cities. With this, there will be no fear that the car’s battery may go off as demanded by modern-day cars.

3. Scaling Production Capabilities

Since consumers have also shifted their focus to electric scooters, Ather has established the vision of producing more vehicles. The company has a very good factory at Hosur in Tamil Nadu where they can produce 1,10,000 vehicles per annum. Now the company will expand this factory and could develop additional factories in other areas of the nation.

4. Strengthening Market Presence

It comes now that with the help of money for financing received from NIIF, Ather will develop its production even further. The firm intends to market its scooters across the country so that Ather Energy vehicles are easily accessible in every city.

For this, the company will also do good advertisements as people have to be informed about the benefits of having electric vehicles and they should trust Ather.

5. Enhancing Customer Experience

The company has always ensured that their customers were happy at Ather energy unicorn companies. Thanks to the new money, it will be able to make its customers even happier than before.

This will enable the company to give better service to the customers through the use of technology. Besides this, other factors make it easier for the customers to buy a car like the low price car available or the rented car available.

Ather Energy’s Unicorn Status

Today, Ather Energy become unicorn company, and yes, the company has made a lot of effort. This is a great achievement for every new start. But this is just the beginning. The real work will start from now. Here is where the rubber hits the road.

1. Leading the EV Revolution in India

You see, Ather now has plenty of it. This can help a lot in popularizing electric vehicles in the country, particularly in India. The government also wants people to use more electric cars and less petrol and diesel. Ather manufactures good-quality vehicles and provides chargers so that there will be more people interested in buying electric vehicles.

2. Contributing to India’s Green Goals

The Government of India has an aim known as ‘Clean India’ meaning the country wants to be free from pollution. Electric vehicles can go a long way in this. We will be able to achieve this goal through the help of companies like Ather Energy.

That’s why stating that by making good vehicles they are making people move to the use of electric cars and International Driving, thereby minimizing the utilization of petrol and diesel.

3. Global Expansion

Having seen such success of Ather Energy in India, the company might consider exporting its vehicles to other countries too. Because in many countries people have switched to electric cars.

Challenges and Opportunities Ahead

However, the future is not without obstacles for Ather despite all the success that the company has achieved. The last two questions address the growth of new electric vehicle manufacturing companies, saying that even Ather Energy will have to do new things to progress.

Government regulations, the scarcity of products, and shifting customer preferences can also turn into adversities for Ather Energy. However, a good start and proper thinking alongside cooperation with a large company like NIIF can help Ather Energy overcome these challenges.

Conclusion

Ather Energy has transformed from being a small company to become a big company. This has clearly illustrated that new things and hard work can pay off. It means that NIIF has invested $710 million in Ather Energy which proves that this company has a good future. For more information on Ather Energy Unicorn Lane click here…

Ather Energy will continue making electric vehicles common in India and contribute towards ensuring that India becomes a green nation.

Despite all these risks in the future, Ather is prepared to overcome these hurdles and can become one of the major electric vehicle manufacturing companies shortly. Check out our detailed guide to compare the features and prices of the best electric bicycles in India

FAQ’s

1. Well is Ather Energy a unicorn company?

Yes, recently Ather has entered into unicorn club startup companies. An ather unicorn company simply means a company with a value that exceeds $1 billion. The most recent Series A funding round has brought Rs 600 crore into Ather and uplifted its value to $1.

2. What is the net worth of Ather Energy?

Currently, the value of Ather is shaping to Rs 10,900 crore i.e. $1.

3. Who has invested in Ather Energy so far?

Among them, Caladium Investment has injected the maximum amount of money into Ather. Besides this, Sachin Bansal and 15 others are the investors of it.

4. Who is the CEO of Ather Energy and what kind of vehicle does the name suggest?

The CEO of Ather is Tarun Mehta. He has done his engineering at IIT Madras. He began Ather Energy in the year 2013 with his partner Swapnil Jain started the company.

5. Is the stock of this company, Ather Energy, traded in the market?

No, Ather Energy is not a public company at this time; it’s still classified as a private business venture. It is exclusive of market share or market presence.