Hero Motocorp Powers Up Its Electric Ambitions, Raises Ather Stake to 32.8%

NEW DELHI, August 27, 2026 — Two-wheeler manufacturer Hero MotoCorp Limited announced today that its Committee of Directors has approved the acquisition of additional equity shares in electric vehicle company Ather Energy Limited. The investment transaction carries a total cost of acquisition of up to ₹1,758 crore (17.58 billion rupees).

The strategic purchase will raise Hero MotoCorp's total stake in the associate company to up to 32.8% on a fully diluted basis. The announcement highlights Hero MotoCorp's continued commitment to expanding its footprint across the domestic electric mobility ecosystem.

Hero MotoCorp Approves Additional Equity Purchase in Ather

Hero MotoCorp Limited submitted formal regulatory disclosures to market authorities on Thursday, August 27, 2026, detailing the decision reached by its Committee of Directors. The filings were submitted under Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. Official intimations were transmitted directly to the exchange desks at the National Stock Exchange of India Limited and BSE Limited.

Prior to the newly approved transaction, Hero MotoCorp held a 29.88% equity stake in Ather Energy on a fully diluted basis as of August 25, 2026. The fresh investment entails purchasing secondary shares directly from an existing shareholder of Ather Energy via a cash transaction.

The corporate transaction is expected to reach financial closure by September 3, 2026.

Financial Overview and Target Profile

Ather Energy Limited is a public limited company incorporated in India on October 21, 2013, and is listed on both the BSE and NSE. The EV manufacturer designs, produces, sells, and services electric two-wheelers while managing dedicated charging networks and energy storage distributions.

According to disclosures filed by Hero MotoCorp, Ather Energy has demonstrated rapid revenue growth over recent financial cycles:

• FY 2023–24 Revenue: ₹1,753.8 crore.

• FY 2024–25 Revenue: ₹2,255.0 crore.

• FY 2025–26 Revenue: ₹3,671.76 crore.

Hero MotoCorp confirmed that the share acquisition does not fall under related-party transaction rules, as no promoters or promoter group companies hold financial interests in the shares being transferred. In addition, the transaction requires no regulatory or governmental approvals prior to execution.

Strategic Synergies in Electric Mobility

The increase in equity ownership reinforces the strategic alliance between India's largest traditional two-wheeler manufacturer and one of its leading electric two-wheeler startups. The capital commitment supports Ather Energy's continued expansion across manufacturing, software development, and charging network deployment across India.

For Hero MotoCorp, deepening its equity stake aligns with its broader vision to lead zero-emission urban transport solutions through both internal product development and external strategic investments.

Official Sources Section

According to official regulatory filings signed by Prabhat Singh, Company Secretary & Compliance Officer of Hero MotoCorp Limited, the board committee authorized the investment on August 27, 2026. The disclosure was officially delivered to listing departments under SEBI LODR rules.

Quote Section

According to officials, "The Committee of Directors of Hero MotoCorp Limited at its meeting held on August 27, 2026, has approved the purchase of additional equity shares of Ather Energy Limited. Post the purchase, Hero MotoCorp Limited's shareholding in Ather would increase to up to ~32.8% on a fully diluted basis."

Why It Matters

The acquisition solidifies Hero MotoCorp's long-term position in the electric vehicle sector as consumer adoption of battery-powered two-wheelers accelerates nationwide. For Ather Energy, receiving further capital backing from an industry giant strengthens corporate governance and market capitalization stability. For investors and market analysts, the multi-billion-rupee deal provides clear visibility into Hero MotoCorp's capital allocation strategy toward sustainable mobility assets.

Key Facts at a Glance

• Transaction Valuation: Up to ₹1,758 crore (17.58 billion rupees) in cash consideration.

• Equity Stake Impact: Increases Hero MotoCorp's ownership in Ather Energy from 29.88% up to ~32.8% on a fully diluted basis.

• Target Financials: Ather Energy recorded a turnover of ₹3,671.76 crore for the financial year ended March 31, 2026.

• Execution Timeline: Expected completion by September 3, 2026.

• Regulatory Compliance: Filed under Regulation 30 of SEBI LODR regulations with NSE and BSE.

Frequently Asked Questions (FAQ)

What is the cost of acquisition for Hero MotoCorp's new stake in Ather Energy?

The total consideration for the additional equity purchase is up to ₹1,758 crore (17.58 billion rupees).

What will Hero MotoCorp's shareholding in Ather Energy be after the deal?

Hero MotoCorp's total shareholding in Ather Energy will increase to up to ~32.8% on a fully diluted basis, up from 29.88%.

When will the transaction be completed?

The acquisition of shares is scheduled for completion by September 3, 2026.

Is regulatory approval required for this transaction?

No, Hero MotoCorp stated that no governmental or regulatory approvals are required for the purchase.

Source: Official corporate disclosures submitted by Hero MotoCorp Limited to the National Stock Exchange of India Limited and BSE Limited on August 27, 2026.