CBS VALUATION CHALLENGEGUIDELINES 1. You are required to submit a presentation in both PDF and PowerPoint format. Valuation and analysis models must be attached separately in an Excel document. All the assumptions must be stated clearly 2. Submit the case solution in not more than 10 slides excluding the introduction slide and appendix. The introduction slide must contain the Name of all Team members, Team Name and the Name of the Institution(s) 3. Mail the case Solution (PowerPoint, PDF and Excel) to valuationchallengecbs@gmail.com. The subject of the mail and the file names must follow the nomenclature CBSValuationChallenge Team Name 4. The deadline for the submission is Friday, March 1st, 11:59 PM. Late submissions will not be accepted 5. Use of public information is allowed, but you are required to mention the sources. However, the analysis and solution must represent the team’s own ideas and work. Plagiarism is strictly prohibited 6. The decision of the organising team shall be final and binding on all the participants In case of further queries, feel free to reach out to: Ananya: +91 84487 02601 Kritika: +91 79823 07764.CBS VALUATION CHALLENGE SECOND ROUND Background Ather Energy, established in 2013, is a leading Indian manufacturer of electric scooters. They have carved a niche in the market with their innovative design, intelligent features, and focus on customer experience. The company boasts a strong brand presence, loyal customer base, and a vertically integrated production model. Ather Energy has witnessed impressive growth in recent years, driven by rising demand for electric two-wheelers in India and increasing government support for sustainable mobility solutions. They are expanding their product portfolio, establishing new dealerships, and ramping up production capacity to cater to the growing market. Case Tata Motors is a major player in the Indian automotive industry with a diverse portfolio encompassing passenger vehicles, commercial vehicles, electric vehicles, and automotive components. It is considering acquiring a 30% stake in Ather Energy. Your objective is to determine a fair market value for the company using various valuation methodologies and considering the unique characteristics of the electric vehicle (EV) market. Problem Statement You are a team of investment bankers working on the valuation front of the deal between Tata Motors and Ather Energy, entrusted with the due diligence involved. You must come up with: 1. The valuation of Ather Energy, a leading company in the EV sector. 2. The strategic implications of the stake sale for both Ather Energy and Tata Motors (discussing about the possible benefits, future growth opportunities and the uncertainties surrounding the valuation, considering the specificities of the EV market). 3. A detailed report presenting your valuation methodology, key assumptions, and calculations.