Daijiworld Media Network- Mumbai

Mumbai, May 6: Electric two-wheeler manufacturer Ather Energy witnessed a tepid debut on the stock markets on Tuesday, with its shares slipping over 5 per cent in early trade, disappointing investors who were anticipating a stronger listing.

The stock was listed at Rs 328 per share on the National Stock Exchange (NSE), reflecting a modest 2.18% gain over its issue price of Rs 321. On the Bombay Stock Exchange (BSE), it opened at Rs 326.05 — a 1.57% premium.

However, the early optimism quickly faded. By 12:15 p.m., the stock was down 5.5% on the NSE at Rs 309.95, and 5.15% on the BSE at Rs 309.25.

The company’s Rs 2,981 crore IPO, which included a fresh issue of Rs 2,626 crore and an offer-for-sale of 1.1 crore shares, had garnered a moderate overall subscription of 1.43 times during its three-day bidding window from April 28 to 30.

Retail investors showed relatively more interest, subscribing 1.78 times, while Qualified Institutional Buyers (QIBs) subscribed 1.70 times their quota. The response from Non-Institutional Investors (NIIs), however, remained muted at just 66%.

Despite trading at a 4% grey market premium ahead of the listing, Ather Energy’s debut failed to meet market expectations. Analysts attributed the slide to the subdued subscription figures and cautious investor sentiment.

With its listing, Ather becomes the second electric two-wheeler company to go public, following Ola Electric Mobility, which launched its IPO worth Rs 6,145 crore in August last year.
Following the listing, Ather Energy’s market valuation stood at Rs 12,144.05 crore.

Market watchers will now be keeping a close eye on the company’s post-listing performance, especially as the EV segment continues to evolve amidst rising competition and regulatory scrutiny.