Electric two-wheeler manufacturer Ather Energy is planning to raise up to Rs 2,500 crore through a combination of equity-linked instruments and has initiated discussions with multiple investment banks to manage the fundraising process. The proposed capital raise would mark the company's first major fundraising exercise since its stock market listing.

The company's board has already approved a fundraising plan of up to Rs 2,500 crore. The proposal includes raising up to Rs 1,500 crore through a Qualified Institutional Placement (QIP), while an additional Rs 1,000 crore may be raised through instruments such as equity shares, foreign currency convertible bonds, rights issues, preferential allotments, or other eligible securities.

Ather Energy is expected to formally appoint advisors and launch the fundraising process in the coming weeks. The company intends to use the proceeds to strengthen its growth strategy, including capacity expansion, product development, technology investments, and broader market penetration in India's rapidly growing electric vehicle segment.

The fundraising plan comes at a time when investor sentiment toward the company remains strong. Ather's shares have delivered substantial gains over recent months, supported by improving financial performance and growing demand for electric two-wheelers. The company reported strong revenue growth and a significant reduction in losses in its latest quarterly results, reflecting progress toward scale and operational efficiency.

Ather Energy, founded by Tarun Mehta and Swapnil Jain, is one of India's leading electric scooter manufacturers and competes with players such as Ola Electric, TVS Motor, and Bajaj Auto in the fast-expanding EV market. The proposed capital infusion is expected to further strengthen its competitive position as the industry enters its next phase of growth.