The country's largest two-wheeler maker Hero MotoCorp said its board has approved to further invest up to Rs 420 crore in electric two-wheeler company Ather Energy. The company's board has approved the investment in one or more tranches, Hero Motocorp said in a statement.
Prior to the proposed investment, the company's shareholding in Ather Energy stood at 34.8 per cent (on a fully diluted basis). After the investment, the shareholding will increase and the exact shareholding will be determined upon completion of the capital raising round by Ather, Hero MotoCorp stated.
"In keeping with our vision 'Be the Future of Mobility', we are working on a variety of emerging mobility solutions. "We were one of the early investors in Ather Energy and have continued to expand our association over the years. We are excited to see the growth of Ather Energy in recent years," Hero MotoCorp Head (Emerging Mobility Business Unit) Swadesh Srivastava noted.
The company aims to expand the Hero MotoCorp brand promise and make EV ownership a convenient, hassle-free, and rewarding experience for customers across the world, he added. Hero MotoCorp is an early investor in Ather Energy and has been part of its growth story since 2016. The company is also exploring collaborations with Ather Energy in various spheres, such as charging infrastructure, technology and sourcing.
Hero MotoCorp said it is addressing the emerging mobility opportunity in a comprehensive manner through a range of organic and inorganic initiatives. The company is gearing up to unveil its first electric vehicle (EV) in March this year.
The vehicle is being developed at its R&D set-up the Center of Innovation and Technology (CIT) in Jaipur and the Tech Center Germany (TGG) near Munich and will be produced at the company's manufacturing facility at Chittoor in the southern Indian state of Andhra Pradesh.
Through its investments and partnerships with external partners like Ather Energy and Gogoro Inc, Hero MotoCorp is also working towards building the entire EV ecosystem from products to technology, to sales, service, customer care, operations, and innovation, the company noted.