Indian E-Scooter Firm Ather’s Shares Decline in Mumbai Debut

Ather Energy Ltd.’s shares closed below their initial public offering price Tuesday, signaling a tepid response to India’s first major listing this fiscal year, as traders looked for clues on the local equity capital market outlook.

Shares of the electric scooter maker closed at 302.30 rupees, a discount of almost 6% over their offer price of 321 rupees apiece. The company’s offering of fresh and existing shares raised 29.8 billion rupees ($354 million) before the debut. Broader markets in India also fell Tuesday with Nifty’s gauge of small-sized firms plunging 2.5%.

Attesting to the market interest leading up ...