Electric scooter maker Ather Energy has made its entry into the unicorn club, securing $71 million (Rs 596 crore) in fresh capital from India's quasi-sovereign wealth fund the National Investment and Infrastructure Fund (NIIF), as it gears up for a listing.
The latest round values the electric vehicle startup at about $1.3 billion, according to a person familiar with the matter.
The startup, however, declined to comment. The Economic Times was the first to report the development.
The funding round comes a few months after Ather raised $35 million in a mix of debt and equity in May. Last year, Ather bagged $108 million from two-wheeler major Hero MotoCorp and Singapore sovereign wealth fund GIC. Hero MotoCorp, its largest shareholder, also raised its stake by 3 percentage points in December, investing $16.9 million in the company.
With the funding, the startup joins a coveted list of Indian startups valued at over a billion dollars. While the country saw quite a few companies turning unicorns during 2021-22, the number fell considerably in the last two years.
Last year, only two startups–Zepto and InCred Finance–made it to the unicorn club. Ather is the fourth company this year to command a valuation of over $1 billion, after AI startup Krutrim, fintech-focused software-as-a-service company Perfios and ride-hailing company Rapido, as late-stage funding activity picks up after a funding winter.
Ather, founded in 2013, competes with rivals Ola Electric, TVS, and several other players in India’s small but fledgling electric two-wheeler market. Ola Electric, which has the largest market share, debuted on the exchanges earlier this month. Ather recently converted into a public limited company and is also eyeing India’s public markets.
The startup’s sales contracted last year to Rs 1,754 crore in FY24, compared to Rs 1,784 crore in FY23.