Hero MotoCorp NSE -0.92 % Ltd. is investing Rs 420 crore in electric scooter maker Ather Energy, at a time when India’s largest two-wheeler maker is readying its own product for the local EV market.
The company’s board has approved the investment in one or more tranches, according to a regulatory filing Friday. Prior to the proposed investment, Hero MotoCorp held a 34.8% stake in the Bengaluru-based startup. “Post the investment, the shareholding will increase and the exact shareholding will be determined upon completion of the capital raise round by Ather.”
This is the fifth time Hero MotoCorp, which has yet to enter the electric two-wheeler market, is investing in Ather Energy. Its first investment was back in 2016 when it became a strategic partner.
