Promoter Premium Investments Put Piramal Finance, Ather Energy Under Spotlight

Piramal Finance and Ather Energy are raising money to expand their businesses.

Big investors are buying shares through a process called a QIP.

The companies’ promoters, who are closely connected to the businesses, are also promising to invest more money through warrants.

In both cases, the promoters agreed to prices higher than the minimum QIP price.

Piramal Finance plans to use the money to provide more loans and strengthen its finances.

Ather Energy plans to build a larger factory and develop new products.

Piramal’s profits and loan business have been growing, while its bad-loan ratio has improved.

Ather is selling more scooters, losing less money and has reported its first positive EBITDA quarter.

The important question is whether both companies can use the new money successfully and keep growing.