India's Hero MotoCorp to invest about $104 million in Ather Energy (updated)
UPDATE 1-India's Hero MotoCorp to invest about $104 million in Ather Energy Adds details throughout
July 14 (Reuters) - Indian two-wheeler maker Hero MotoCorp HROM.NS on Tuesday approved an investment of up to 10 billion rupees ($103.95 million) in homegrown EV maker Ather Energy ATHR.NS.
Here are some details:
Hero, the Bengaluru-based EV maker's biggest shareholder, said its post-transaction stake will depend on the pricing and structure of the proposed securities issue.
The company held a stake of 29.48% in Ather Energy, as of June 30.
Hero plans to invest in the EV maker through a preferential allotment of shares or convertible securities.
The transaction is targeted to be complete within 15 days of the final approval.
Although an early entrant in India's EV two-wheeler market, Ather faced intense competition from larger rivals such as TVS Motor TVSM.NS and Bajaj Auto BAJA.NS, which benefitted from stronger financial resources and wider distribution networks.
($1 = 96.2000 Indian rupees)
(Reporting by Urvi Dugar in Bengaluru; Editing by Shreya Biswas)
((UrviManoj.Dugar@thomsonreuters.com; +91 9558725583;))
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