Ather Energy shares drop nearly 6% in lackluster market debut

New Delhi: Shares of electric two-wheeler maker Ather Energy Ltd Tuesday ended with a discount of nearly 6 per cent against the issue price of Rs 321.

The stock started the trade at Rs 326.05, up 1.57 per cent from the issue price on the BSE, but soon gave up the gains to slip into negative territory. During the day, it hit a high of Rs 332.90 and a low of Rs 300. Shares of the firm finally ended at Rs 302.50 apiece, down 5.76 per cent.

On the NSE, the stock was listed at Rs 328, a premium of 2.18 per cent. Shares of the firm later ended at Rs 302.30 each, a decline of 5.82 per cent.

The company’s market valuation stood at Rs 11,266.90 crore.

In the equity market, the 30-share BSE benchmark declined 155.77 points or 0.19 per cent to settle at 80,641.07. The NSE Nifty dipped 81.55 points or 0.33 per cent to 24,379.60.

Ather Energy’s initial public offer got subscribed 1.43 times on the closing day of bidding Wednesday, backed by oversubscription in QIB and retail investor categories.

The Rs 2,981-crore initial share sale had a price band of Rs 304-321 apiece.

“Ather Energy made a muted debut on the stock market, opening with a modest 2 per cent gain… The stock’s weak listing and subsequent dip reflect cautious investor sentiment around its steep valuation,” Gaurav Garg, Analyst at Lemonn Markets Desk, said.

This was the first mainboard public issue of the current financial year 2025-26.

The initial public offering (IPO) was a combination of a fresh issue of equity shares worth Rs 2,626 crore and an offer-for-sale of 1.1 crore equity shares by promoters and other shareholders.

This is the second electric two-wheeler company to go public after Ola Electric Mobility floated its Rs 6,145-crore IPO in August last year.

PTI

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