Ather Energy Share Price Today: Ather Energy shares were in demand on Friday, with the stock rising as much as 7.10% to hit an intraday high of Rs 1,579.75, moving closer to its 52-week high of Rs 1,589.40.
At 9:25 am, Ather Energy shares were trading 5.36% higher at Rs 1,554. In comparison, the BSE Sensex was up 0.36% at 77,213 levels.
Hero MotoCorp To Raise Stake In Ather Energy
Investor sentiment was supported by Hero MotoCorp's decision to increase its stake in Ather Energy as part of a larger funding round.
ALSO READ: Hero MotoCorp To Acquire Additional Stake In Ather Energy For Rs 1,758 Crore
Hero MotoCorp approved the purchase of additional equity shares of Ather Energy at its board meeting on August 27. The two-wheeler major will invest approximately Rs 1,758 crore, taking its stake in Ather to 32.58% from around 30%.
The investment comes as Ather plans to develop a new platform and expand its manufacturing capacity.
Hero MotoCorp first invested in Ather Energy in 2016, putting in around Rs 180-200 crore. Its investment is now estimated to be worth around Rs 14,000-15,000 crore, implying nearly sevenfold returns.
EL Platform: Ather's Next Big Bet
Ather Energy is set to host its Community Day event on August 29, where it is expected to unveil its new EL platform.
The platform will house Ather's first mass-market scooter, which is expected to be priced in the Rs 1 lakh-Rs 1.25 lakh range. The new platform could help the company expand its addressable market and strengthen its position in the electric two-wheeler segment.
Capacity Expansion In Focus
Ather is also preparing for its next leg of capacity expansion amid strong demand for its electric scooters.
Dealers in some states are reportedly no longer accepting pre-orders, while the company's current annual production capacity stands at around 4.2 lakh units.
The first phase of Ather's Aurangabad (Auric) facility is nearing commissioning, which will take the company's annual capacity to around 9.2 lakh units.
However, given the current demand trajectory, even this capacity addition may not fully meet demand. The second phase of the Auric facility has the potential to add another 5 lakh units of annual capacity.
Block Trade In Ather Energy Shares
Ather Energy also witnessed a block trade during Friday's session, with around 11.9 million shares changing hands.
The block transaction represented approximately 3% of the company's equity.
Out of 14 analysts tracking the company, all 14 maintain a 'Buy' rating, according to Bloomberg data. The average 12-month consensus price target of Rs 1,561.91 implies an upside of 4.5%.
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