IPO-bound electric two-wheeler manufacturer Ather Energy on February 27 announced the expansion of its R&D (research and development) and testing capabilities at its product testing & validation centre- The Juggernaut in Bengaluru's Begur.
The expansion of this facility is key to Ather’s R&D ecosystem designed to ensure the quality, reliability, and performance of its scooters, while also accelerating product development, testing, and validation.
"Spanning 38,692 sq. ft., the facility is designed to validate durability and safety across vehicle, system, and component levels, including on-road endurance," the company said in a release.
Currently, Ather has three R&D facilities in Bengaluru, Karnataka, including one recognised as an in-house unit by the Department of Scientific and Industrial Research (DSIR). The facility houses dedicated labs for structural durability, battery testing, electrical, and electronics reliability, and vehicle environment testing.
Ather follows a layered validation approach, ensuring testing and validation at every stage.
The facility features a road load simulator, for targeted testing of systems like suspension frames, enabling early bug detection, faster design optimisation, and lower change costs. The simulator is capable of replicating intricate real-world two-wheeler riding conditions, compressing a 1 lakh km endurance test into just 15 days - a process that typically takes around 10 years to cover on the road.
With multi-stress factor testing and a feedback loop from field data to test cases, Ather aims to continuously refine its validation processes to improve real-world performance. This data-driven testing enhances accuracy, helping engineers predict and address potential failure points before they reach customers.
Additionally, in this facility Ather also conducts battery validation tests including thermal performance test, water wading test, drop test, and vibration and thermal cycling to tune the battery for performance and safety. Battery packs are tested under real-world load conditions, cycling them through typical customer usage patterns to monitor degradation in equivalent kilometers.
Ather has two lines of scooters - the Ather 450 and the Rizta that cater to the performance and convenience segments respectively. Ather currently has 2 manufacturing plants in Hosur, Tamil Nadu, one each for vehicle assembly and battery manufacturing, and an upcoming third manufacturing facility in Bidkin, AURIC, Chhatrapati Sambhaji Nagar, Maharashtra.
Swapnil Jain, Co-founder & CTO, of Ather Energy, said the company has made significant investments in R&D over the years and has developed processes & standards for testing to deliver quality products. "With the expansion of The Juggernaut, we are scaling up our testing capacity & capabilities, enabling us to accelerate innovation and product development, while maintaining our focus on performance, quality and reliability.”
As of December 31, 2024, Ather had conducted 4,535 unique tests to validate its electric two-wheelers, for maintaining quality and durable products.
As of December 31, 2024, Ather's R&D expenditure was almost Rs. 2,39 crore, accounting for 15 percent of revenue from operations, and about 46 percent of its total workforce dedicated to R&D.
The IPO
Ather Energy received the final approval from markets regulator Securities Exchange Board of India (SEBI) on December 30 to launch its Initial Public Offering (IPO).
While the firm is yet to file its RHP documents, according to the company's Draft Red Herring Prospectus, the total IPO size may be around Rs 4,500 crore. If the IPO gets launched, Ather Energy will be the second company listing on the bourses after its rival Ola Electric Mobility which had a debut in August.
The electric two-wheeler manufacturer had filed draft papers on September 9 with the intention to raise funds for establishment of an E2W (electric two-wheeler) factory in Maharashtra, and debt reduction. The IPO will be a combination of fresh issue of equity shares worth Rs 3,100 crore, and an offer-for-sale of 2.2 crore equity shares by promoters and investors.
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