Ather Energy To Set Up Second Manufacturing Unit In Hosur, Plans To Expand Capacity To 4 Lakh Units

Ather Energy had started its first manufacturing facility at Hosur earlier this year.


Bengaluru: Ather Energy has commissioned its second manufacturing facility in Hosur to cater to the growing demand for its electric scooters - 450X and 450 Plus. The company had set up its first manufacturing facility at Hosur earlier this year. Ather Energy is also planning expand its manufacturing capacity to 4 lakh units per annum from the current capacity of 1.20 lakh units.


In October 2021, Ather Energy witnessed its best-ever monthly sales numbers, registering 12-fold growth over last year and achieving revenue run rate of USD 100 million, making it the largest EV maker by value in this segment, the company claimed.

"The EV demand has been shooting up across the country, and customers are coming in expecting electric scooters to wow them. This customer expectation is why our 450 series of electric scooters - the 450X and 450 Plus - is seeing massive demand as it is the best electric scooter in the country today. Our experience centres are scaling up rapidly, and our retail footprint is set to grow by six times in the coming quarters," Ather Energy Co-Founder & CEO Tarun Mehta said.

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"So, within just ten months of opening our current facility, we find ourselves already operating at full capacity. We are commissioning the second plant to be ready for 2022. With this capacity expansion, Ather is well on its way to becoming the country's largest EV producer by next year," he added.


Ather Energy claimed that it has been registering 20 per cent month-on-month sales growth since November 2020. The company has recorded a three-fold increase in walk-ins, web inquiries and test rides from April-October 2021 and a four-fold growth in vehicle booking in the period.

Ather Energy started its operations at the Hosur manufacturing facility earlier this year, catering to demand from across the country. It enables 90 per cent of the manufacturing of Ather Energy's 450X and 450 Plus to be localised, including the battery pack, which is made in-house by Ather Energy. The company has committed to invest Rs 650 crore in the next five years to enhance operational efficiency and production capacity to meet the exponential surge in demand.

Apart from the EV manufacturing, the facility will also focus on lithium-ion battery manufacturing. Ather Energy is the only EV OEM in India to make its battery packs and has filed 13 patents on the design and manufacturing of the li-ion batteries. The company plans to strengthen its retail operations by expanding to new markets. It also plans to expand to around 150 experience centres in 100 cities by March 2023.

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Published Date:November 29, 2021 4:48 PM IST

Updated Date:November 29, 2021 4:48 PM IST