Hero MotoCorp will invest ₹140 crore to increase its ownership in Ather Energy, boosting its stake from the existing 36.6% to 39.7%.
Hero MotoCorp announced on Thursday its decision to acquire additional shares in Ather Energy Pvt. Ltd., a company it’s already associated with. Ather, which Hero MotoCorp Limited (HMCL) partly owns, specializes in the design, manufacture, sale, and service of electric two-wheelers. Hero MotoCorp will invest ₹140 crore to increase its stake in Ather from 36.6% to 39.7%.
Before the acquisition, HMCL held 36.7% of Ather’s fully diluted paid-up share capital. This figure is expected to rise to 39.7% post-purchase, as disclosed in a regulatory filing. Ather also operates in charging infrastructure and manages electric power storage, distribution, and related services.
This investment in Ather, a related entity, doesn’t involve any interest from Hero MotoCorp’s promoters, promoter groups, or group companies. The deal is intended to be conducted on an arm’s length basis.
In a separate development, Hero MotoCorp, the global leader in motorcycle and scooter manufacturing, has reinforced its executive team by appointing two senior members with broad international experience. Vivek Anand joins as Chief Financial Officer (CFO) and Rachna Kumar as Chief Human Resources Officer (CHRO), both reporting to CEO Niranjan Gupta.
Vivek, a Chartered Accountant with nearly 30 years of experience in sectors like FMCG, Telecom, Consumer Healthcare, and Real Estate, previously served as CFO of DLF Limited. His expertise spans Finance, Treasury, M&A, Corporate Planning, Investor Relations, Tax Planning, Risk Management, and Information Technology. Vivek has worked with Telenor, GSK, and Unilever in India, Singapore, and Bangladesh. His tenure at Hero MotoCorp will commence on March 1, 2024.
Rachna Kumar, an experienced HR professional across various sectors like consumer goods, food & beverages, oil & gas, and retail, will join Hero MotoCorp from Whirlpool Asia, where she was the CHRO. Her career includes positions at Tata Trent, Hindustan Coca-Cola Beverages Pvt Ltd, Castrol Lubricants, and Philips, focusing on agile organizational structures, talent strategy, performance management, learning & development, and progressive industrial and employee relations. Rachna is set to start her role on January 2nd, 2024.
