India: Hero MotoCorp invests $30.6m to pick 30% in startup Ather Energy

Visuals tken from Hero MotoCorp

New Delhi-based two-wheeler maker Hero MotoCorp Ltd on Thursday said that its board has approved an investment of up to Rs.205 crore for about 26-30% shareholding in Bangalore-based tech start-up Ather Energy Pvt. Ltd that makes electric vehicles.

Hero said payments to Ather will be made in tranches. Ather sells an electric scooter named S340 and also has expertise in charging infrastructure.

“As the market leader and a global automotive major, Hero MotoCorp takes the lead in many areas that benefit the environment, customer and the industry. Adoption of environment-friendly fuel is a priority for Hero MotoCorp, as is propagating sustainable manufacturing through green facilities. Hero MotoCorp intends to enhance its participation in the EV (electric vehicle) space by pursuing its internal EV program in addition to partnering with Ather,” the company said in a statement to the BSE.

The said strategic investment is subject to execution of definitive agreements and completion of certain conditions customary for a transaction of this nature.

This is the Pawan Munjal-led company’s second such investment in a company after it separated from Honda Motor Co. in 2010. Its first such move to pick up stake in US-based EBR Racing backfired after the Erik Buel-led bike company filed for bankruptcy in the US. The company later wrote off the investments made in EBR Racing.

India wants to put as many as six million electric vehicles on its roads by 2020 and about two-thirds of the sales is aimed from the two-wheeler and bus segments.

Also Read:

India: Hero Motocorp’s Pawan Munjal sees an Uber in two-wheelers

India: PE firm Bain Capital exits Hero MotoCorp for $115m

India: Electric scooter start-up Ather Energy hires Ravneet Phokela as CBO

This article was first published on Livemint.com

Singapore Reporter/s

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Following vacancies can be applied for (only in Singapore).   

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Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.