On Thursday, Hero MotoCorp announced that it will buy more shares from an existing shareholder of the associate firm Ather Energy Pvt. Ltd.
Designing, creating, marketing, and maintaining electric two-wheelers is the business of Ather, an active Associate company of Hero MotoCorp Limited (HMCL). Hero MotoCorp would pay ₹140 crore for the new stake, increasing its ownership of Ather to 39.7% from its present 36.6% following the transaction.
“Ather’s paid-up share capital is currently 36.7% (on a fully diluted basis) owned by HMCL.” HMCL stated in a regulatory filing that with the acquisition of extra shares, its ownership stake in Ather would rise to 39.7% (on a fully diluted basis) of the company’s paid-up share capital.
Furthermore, Ather supplies energy in the form of batteries and handles the distribution, management, and storing of electricity in addition to operating its infrastructure for charging. It also provides various auxiliary services.
The deal comprises buying more shares from a linked entity called an Associate Company. There is no stake held by promoters, promoter groups, or group corporations in the entity receiving the additional investment.
It is suggested that the transaction be completed on an arm’s length basis.
Hero MotoCorp, the biggest producer of motorbikes and scooters worldwide, has added two senior executives with a wide range of international experience from other industries to its leadership team.
The Chief Financial Officer (CFO) of the company is Vivek Anand, while the Chief Human Resources Officer (CHRO) is Rachna Kumar. The CEO of Hero MotoCorp, Niranjan Gupta, will get reports from Vivek and Rachna.
For the last four years, Vivek, a chartered accountant by training with nearly thirty years of expertise in a variety of industries including FMCG, telecom, consumer healthcare, and real estate, has served as CFO at DLF Limited.
Vivek has extensive international experience and is well-versed in finance, treasury, mergers and acquisitions, corporate planning, investor relations, tax planning, risk management, and information technology. In the past, he worked in India, Singapore, and Bangladesh for Telenor, GSK, and FMCG giant Unilever. The appointment of Vivek will take effect on March 1st, 2024.
Rachna, a seasoned HR executive with experience in a variety of industries, including retail, food and beverage, consumer products, and oil and gas, joins Hero MotoCorp from Whirlpool Asia, where she was the CHRO.
Her vast experience encompasses positions at Castrol Lubricants, Hindustan Coca-Cola Beverages Pvt Ltd, Tata Trent, and Philips. Her experience encompasses not just standard HR duties but also specialized issues like talent strategy, performance management, learning and development, establishing flexible and effective organization structures, and facilitating progressive industrial and employee interactions.