Source : PTI | Electric two-wheeler makerAther Energy Ltd has taken a significant step toward its much-anticipated initial public offering (IPO) by converting its outstanding compulsory convertible preference shares (CCPS) into equity.
The move is part of the company’s preparation for its IPO, expected to be launched in April, according to merchant banking sources. According to a Registrar of Companies (RoC) filing accessed by PTI, the company’s board passed a resolution on March 8, 2025, approving the conversion of over 1.73 crore outstanding CCPS into 24.04 crore fully paid-up equity shares.
The shares, with a face value of Rs 1 each, will rank pari passu with the existing equity shares. The converted CCPS include multiple series issued over time, such as Series Seed (One to Four), Series A to G, and additional Series like Bonus CCPS and various E classes (E, E1, E2).
As per Sebi Issue of Capital and Disclosure Requirements (ICDR) regulations, all CCPS must be converted into equity before filing the Red Herring Prospectus (RHP). This move signals that Ather Energy is progressing rapidly toward its IPO, which could be among the first to launch in FY2026.
Ather filed draft papers in Sept last year to raise funds to set up an electric two-wheeler factory in Maharashtra and debt reduction.
