Electric two-wheeler maker Ather Energy's initial public offering, which will launch on April 28, will unlock wealth to the tune of Rs 530 crore for over 1,300 staff covered under the company’s employee stock option plan (Esop).

The red herring prospectus of the Bengaluru-based firm indicates that it launched an employee stock option plan in 2024 that includes nearly 16.5 million shares.

At the highest price level of Rs 321 per share, this will result in wealth generation exceeding Rs 500 crore.

After the stock is listed on May 6, employees will face a one-year lock-in before they are allowed to sell these shares.

Ather will be the second company focused solely on electric two-wheelers to be listed on Indian stock exchanges, following Ola Electric. The IPO is anticipated to provide considerable benefits to its initial investors and promoters.

Per the RHP, Tiger Global is expected to achieve a multiple of 8.3x on its investment. The sovereign wealth fund GIC from Singapore and the National Investment and Infrastructure Fund (NIIF) are anticipated to achieve multiples of 1.6x and 1.7x, respectively.

Following the submission of its draft red herring prospectus last year, Ather reduced the scale of its new issue from Rs 3,100 crore to Rs 2,626 crore due to adverse market conditions. The offer-for-sale segment has likewise been decreased by roughly 50 percent.

In the initial nine months of FY24, the firm's operating revenue increased by 28 percent compared to the previous year, reaching Rs 1,578.9 crore, while its losses decreased by more than 25 percent to Rs 577.9 crore.

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The bookrunning lead managers for the issue are Axis Capital Limited, HSBC Securities and Capital Markets (India) Private Limited, JM Financial Limited, and Nomura Financial Advisory and Securities (India) Private Limited.