Growth story · Hosur

Ather Energy: a start-up’s scooter factory on the Hosur plateau

Two engineers started an electric-scooter company in 2013. Eight years later they opened a factory in Hosur, and in 2025 the company listed on the stock market.

3 min read · 2 sources · Public information only

2013

A scooter designed from scratch

Tarun Mehta and Swapnil Jain started Ather Energy in 2013 to build an electric scooter in India, not assemble an imported one. IIT Madras was among its early backers. The first prototype was shown in February 2016.

2021

Why Hosur

Ather signed with the Tamil Nadu government in December 2019 and opened its Hosur factory on 2 January 2021, able to make about 1.1 lakh scooters and 1.2 lakh battery packs a year. Hosur gave it what a young manufacturer needs: an hour from its Bengaluru engineers, and a town full of suppliers and trained workers from 40 years of vehicle making.

An hour from its engineers, in a town full of suppliers.
2025

Listed, and still investing

Ather listed on India’s stock exchanges in May 2025. In its latest reported year it had revenue of about ₹3,672 crore and was still making a loss, about ₹517 crore, as it spent on factories, products and its own charging network.

A success story does not always mean a profit yet. It means a product, a factory and customers built from nothing in about ten years, on a plateau that had made mopeds forty years earlier.

Points for a finance reader

  • Build where the suppliers already are. Hosur’s vehicle workshops shortened the road from design to factory.
  • Read the losses, not just the growth. Revenue can grow while losses continue. Ask what the spending is building.
  • Make the hard part yourself. Building its own battery packs kept the key cost and know-how in house.

Sources

  1. Wikipedia: Ather Energy ↗
  2. Deccan Herald: On Bengaluru’s doorstep, Hosur’s meteoric rise (Apr 2022) ↗

Figures are as published by these sources on the dates shown. They are not our estimates. Where a figure is old, it is the latest we could find from a public source.

Written by Boovaraghavan & Co., Cost Accountants, as part of our notes on Tamil Nadu industry. Write to us if you spot an error or have a question about costing in Hosur.