Hero MotoCorp has subscribed to 76,19,047 convertible warrants in Ather Energy at an issue price of ₹1,260 per warrant, aggregating ₹959.99 crore. The Board of Directors of Ather Energy approved this preferential allotment on July 15, 2026, enabling Hero MotoCorp to increase its stake in the electric two-wheeler manufacturer. The warrants are convertible into one equity share each, with a face value of ₹1, within 18 months of allotment, subject to necessary shareholder and regulatory approvals.

The investment structure requires Hero MotoCorp to pay 25% of the issue price at the time of subscription, with the remaining 75% payable upon the exercise of the warrants. This transaction follows the company's earlier announcement regarding an investment of up to ₹1,000 crore in its associate company. The issuance is conducted in accordance with the Companies Act, 2013, and the SEBI (Issue of Capital and Disclosure Requirements) Regulations, 2018.

Shareholding Details

Post-allotment, Hero MotoCorp's shareholding in Ather Energy will increase on a fully diluted basis. The figures below reflect the shareholding as on July 10, 2026, considering total outstanding ESOPs granted by Ather Energy.

*The post-preferential shareholding is on a fully diluted basis, presuming all warrants are fully converted, and does not account for any further issuance of securities by Ather Energy.

Ather Energy Overview

Ather Energy, incorporated on October 21, 2013, is engaged in designing, manufacturing, and selling electric two-wheelers and operating charging infrastructure. The company has demonstrated significant financial growth, with turnover rising from ₹1,753.80 crore in FY24 to ₹3,671.76 crore in FY26.

Hero MotoCorp has expanded its global footprint by entering Germany, marking its 53rd market worldwide and fifth in Europe. The company has partnered with the KSR Group to distribute its Euro 5+ compliant product portfolio, led by the XPulse 200 4V series. This strategic entry into Europe's largest economy underscores the company's commitment to growing its international business and aligning its offerings with stringent local regulatory standards.

Strategic Partnership and Network Expansion

To support the market entry, Hero MotoCorp has collaborated with the KSR Group, a leading European importer and distributor. The partnership will initially establish a network of more than 28 official sales and service outlets across major German cities, with plans to expand to 30 sales points. This network aims to provide seamless after-sales support, including reliable service and commercial assistance. Reinforcing its commitment to German riders, the company is offering an industry-leading five-year warranty, comprising a three-year standard warranty and an additional two years through a special launch offer.

Euro 5+ Compliant Product Portfolio

The launch portfolio focuses on adventure motorcycles, specifically the XPulse 200 4V family, designed to meet European emission norms. The XPulse 200 4V is priced at € 2990, featuring an 825mm seat height and a lightweight chassis. The XPulse 200 Pro, priced at € 3290, offers enhanced off-road capability with fully-adjustable suspension, 270mm ground clearance, and an 891mm seat height. Both models are powered by a 4-valve engine producing 14.1 kW and 17.35 Nm torque, and feature three scalable ABS modes for different terrains.

Executive Commentary

Sanjay Bhan, Executive Vice President - Global Business, Global Product Planning and Global Market Insights at Hero MotoCorp, highlighted that Germany represents a defining milestone in the company's global growth journey. He emphasized that the Euro 5+ portfolio delivers on German riders' expectations for precision engineering and performance. Michael Kirschenhofer, Chief Executive Officer of KSR Group, expressed confidence in the partnership, citing a shared customer-first approach and the goal of building a strong retail and service network.