Ather plans on its third factory to keep competition from Ola, Chetak and TVS in check
Ather has been one of the most successful EV startups in India. The company strives to make the Indian scooter market eco-friendly and be a part of the green revolution. In that regard, they only manufacture electric vehicles and plan to stay that way.
But as more EV startups are entering the electric scooter market, more are the no of EVs on road with cheap and lower quality parts. This has resulted in dangerous electric scooter fire instances. Making EVs is not the hardest part. Making good EVs is. In this regard, Ather has come off as a solid performer and a consistent at that too.
Ather Electric Scooter New Third Plant
Ather currently has two models on sale in India, 450X and 450 Plus. Both of them are manufactured at Ather’s manufacturing facility in Hosur, Tamil Nadu. It has a production capacity of 1.2 lakh vehicles annually. Ather is also working on its second manufacturing facility in Hosur itself.
Production at the 2nd plant has not started yet. When up and running, this second factory is capable of taking Ather’s total production up to 4 lakh units per annum. But with increasing competition in the Indian electric scooter space with prominent new entrants like Ola and Simple Energy and mainstream manufacturers like TVS, more production is always better.
Adding to the competition, Bajaj’s subsidiary Chetak recently inaugurated its EV production facility at Akurdi. So, Ather has to ramp up its production and invest in new products to stay relevant in the game. Ather is reportedly in the final rounds of talks with various state governments like Karnataka, Telangana, Gujarat, Maharashtra and Andhra Pradesh.
Ather is looking for land up to 100 acres for its third manufacturing facility. This new plant will have production capacity of 15 lakh units annually, making it the largest Ather Energy plant yet. The EV startup is expected to finalize a location among the above-mentioned states by the end of next month.
Ather Energy Fund Raising Campaign
Ather has been backed by Hero MotoCorp since early stages. Hero has been consistently supporting Ather since 2016 and currently holds a 35% stake in Ather Energy. With positive growth and consistent monthly sales, Ather has been doing really good in the EV market. It also recorded its highest-ever monthly sales in May 2022.
Ather Energy, with its consistent growth, has attracted a lot of funds. Last month, it raised around Rs. 990 crores from National Investment and Infrastructure Fund Ltd’s Strategic Opportunities Fund, Hero MotoCorp and some other investors. With 38 Experience centers across 32 cities, Ather is one of the prominent electric scooter manufacturers in India. With new fundraisers and two more manufacturing facilities, Ather is on its way to a new level.
Source
Source: Bike - rushlane.com
