Motorcycle maker Hero MotorCorp has agreed to invest Rs 1.3bn ($18.9m) in India-based electric scooter developer Ather Energy, VCCircle has reported, citing a stock exchange filing.
Founded in 2013, Ather is working on an electric scooter that will be served by its own charging network. It is accepting pre-orders for the vehicle and arranging test rides for prospective customers.
The new investment will be provided through convertible debentures, with the amount of equity taken by Hero to be confirmed in Ather’s next funding round. Hero had previously committed $31m of funding to Ather in a 2016 deal that gave it a stake of up to 30%.
Ather had previously received $1m in funding from angel investors Binny Bansal and Raju Venkatraman in 2014 before Tiger Global Management provided another $12m the following year.
– Image courtesy of Ather Energy.