Electric two-wheeler manufacturer Ather Energy has awarded its media buying and planning mandate to IPG Mediabrands-owned Initiative, a leading media investments firm and a stablemate of Lodestar UM. Industry sources have confirmed to Storyboard18 that Initiative has won the integrated media business of the Hero MotoCorp and Tiger Global-backed EV company.
Other media investments firms in competition for the account were GroupM and Dentsu. The exact size of the business presently is unknown. Ather’s reported advertisement expenses went rapidly northward to Rs 203.8 crore in FY23 from Rs 45.5 crore in the preceding financial year.
Founded in 2013 by IIT Madras graduates Tarun Mehta and Swapnil Jain, Ather is among the top four electric scooter manufacturers in India. Other players in the two-wheeler EV market are Ola Electric, TVS, Bajaj Auto and Hero Motocorp.
During its annual general meeting last week, the IPO-bound EV company’s board passed a resolution to convert the startup into a public company from private, as per reports.
Ather Energy clocked a consolidated revenue of Rs 1,753 crore in FY 2024 amid rising competition and macroeconomic pressure.
Earlier in June, Hero Motocorp said it will acquire an additional 2.2 percent stake in Ather Energy for Rs 124 crore. A few days later, it was reported that Flipkart co-founder Sachin Bansal has exited Ather Energy by selling his remaining 7.5 percent stake in the company.
Bansal had invested around Rs 400 crore over the years starting from 2014, as per reports. They also further stated that he sold 2.2 percent stake to Hero MotoCorp for Rs 124 crore and the rest to Zerodha co-founder Nikhil Kamath.