Ather Energy Shares Jump 5% After ₹1,758-Crore Block Deal

Ather Energy, an electric two-wheeler maker, saw its shares climb more than 5% in early trade on August 28. This followed a block transaction worth around ₹1,758 crore, involving nearly 1.19 crore shares, which represents about 3% of Ather’s equity. The shares were traded at ₹1,480 apiece, around 1% below their previous closing price.

The block deal came a day after Hero MotoCorp announced plans to increase its holding in Ather by purchasing shares from an existing investor. Hero MotoCorp stated that it would invest up to ₹1,758 crore in the cash transaction. Although the company did not identify the seller, the size and timing of the block deal correspond to the announced investment.

Following the purchase, Hero MotoCorp’s fully diluted stake in Ather is expected to rise to approximately 32.8%, from 29.88% as of August 25. The transaction is expected to be completed by September 3. Hero MotoCorp is already Ather’s largest shareholder and had recently received convertible warrants worth ₹960 crore from Ather through a separate preferential issue.

Ather shares were trading around ₹1,577 during early trade, up 5.5% from the previous close. The stock has gained approximately 108% so far in 2026, significantly outperforming the Nifty 50, which has declined around 7.9% over the same period. Ather’s market capitalisation has crossed ₹62,000 crore.

The company has recently reported improving financial performance, with its June-quarter loss narrowing amid strong demand for its family-focused Rizta electric scooter. Ather recorded turnover of ₹3,671.76 crore in FY26, compared with ₹2,255 crore in FY25 and ₹1,753.8 crore in FY24. The company designs, manufactures and sells electric two-wheelers while also operating its own charging network.

Ather Energy has been performing well, with revenue up 88.75% in Q1 FY27. However, the company posted a consolidated loss of ₹51.09 crore in the same quarter. Despite this, the company’s financials are showing signs of improvement, which is a positive sign for investors.

The investment by Hero MotoCorp is a significant development for Ather Energy, as it will help the company to further expand its operations and improve its financial performance. With the increasing demand for electric vehicles, Ather Energy is well-positioned to benefit from this trend.

In conclusion, the block deal and the investment by Hero MotoCorp are positive developments for Ather Energy. The company’s improving financial performance and increasing demand for its products make it an attractive investment opportunity. As the demand for electric vehicles continues to grow, Ather Energy is likely to benefit from this trend, making it a significant player in the industry.