The electric scooter manufacturer, Ather Energy, currently based out of Bangalore has signed an MoU with the Government of Tamil Nadu to open a 4,00,000-square-foot manufacturing plant in Hosur.
The electric scooter manufacturer, Ather Energy, currently based out of Ather Energy have 3 models of their electric scooter: Ather 450 Plus, Ather 450X and the recently revealed Collectors Edition Series 1 that has transparent panels. The new facility in Hosur is capable of producing 3,000 units per month. This is ten times more than the 300-unit-per-month capacity of the Bangalore plant, and the manufacturer plans to increase production to 8,000 units per month by 2022. These accelerated expansion strategies are designed to meet the growing customer demand of electric scooters.
The new production facility is set up with the support of the government of Tamil Nadu under its electric vehicle policy. The facility will focus on the manufacturing of the lithium-ion batteries the e-scooters come equipped with besides the scooter as a whole. The focus on the development of the batteries is line with Ather Energy’s long term sustainability policies. Adding to the value of the company’s new plant is the prospect of job creation for about 4,000 residents of Hosur over the next 5 years.
Tarun Mehta, co-founder and CEO, Ather Energy, at the time of signing the MoU had said, “A manufacturing facility at Hosur was an ideal choice considering that it is close to our Research & Development facilities in Bengaluru and most of the existing and potential future supply base is operating in the region. The availability of a built-up option of our desired scale and proximity helped in the decision-making.”
Ather Energy had received cumulative investments of about USD 35 million (Rs 260 crores); USD 23 million from Sachin Bansal and USD 12 million from Hero Motorcorp, in their latest, series D funding in November 2020. This aided the company to set up the EV manufacturing plant in Hosur.
Ather energy have plans to expand their business to 20 tier-1 cities by the end of this year, and have started to set up Ather Space, their flagship experience centres, the most recent one opening shop in Mumbai.
Also read: Ather 450X Gets Assured Buyback Offer
Story: Cherry Mathew Roy