Ather Energy, a combined IPO, opens new facilities to improve R&D and testing capabilities

BENGALURU: Ather Energy Ltd, a two-wheeler manufacturer that combines IPO, announced on Thursday that its R&D and testing capabilities have expanded its third facility in Bangalore.

The facility is distributed over 38,692 square feet and is designed to verify durability and safety across vehicle, system and component levels, including on the road. It also has dedicated laboratories for structural durability, battery testing, electrical and electronic equipment reliability, and vehicle environmental testing, the company said in a statement.

In fiscal 24, the company spent about ₹In research and development, about 2.38 million is about 15% of its operating revenue. About 46% of the Ather’s total workforce is dedicated to research and development.

Ather’s new facilities and equipment targeted testing of systems such as suspension frames, achieving early error detection, faster design optimization and reduced change costs.

In addition to the data-driven test method, the facility also conducted battery validation tests, including thermal performance testing, wading testing, landing testing, and vibration and thermal cycling to adjust battery performance and safety.

Tests were conducted under real-world load conditions, including temperature testing, mechanical drop testing and extreme vibration testing, and certified IPX7 waterproofing and AIS 156 standards, Ather said.

“Electric vehicles are completely different from ice cars and are relatively new technology, so it’s important to thoroughly test all components of a vehicle,” said Swapnil Jain, co-founder and chief technology officer of Ahther. “Our products are rigorously tested, which revolve around Indian riding conditions and extreme usage, reflecting how customers use our scooters.”

Ather has three R&D facilities in Bangalore covering a variety of features such as the design, development and testing of its electric two-wheeler, software for scooters, charging and accessories for infrastructure.

Ather’s IPO

Ather owns the Ather 450 and Rizta scooter lines, proposes an IPO that includes a combination of fresh stock shares ₹Offer (OFS) of 22 million shares of stock (OFS) of sponsors and investor shareholders is for sale, under its draft Red Herring prospectus filed in September.

The company is expected to be public later this year and will be the second electric vehicle manufacturer in the country to be listed on Bourses. Ola Electric Mobility made its debut in the stock market in August.

Ather plans to use the proceeds from the IPO fresh issues to capital expenditures to build a two-wheeled power plant in Maharashtra, further investing in R&D, marketing plans, loan repayment and general corporate purposes.

Founded in 2013 by Tarun Mehta and Swapnil Jain, Ather has two manufacturing plants in Hosur, Tamil Nadu, one for vehicle components and battery manufacturing, and the upcoming manufacturing plant in Bidkin, Maharashtra.

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