The area was founded in the 3rd millennium BC. The city was known as Hyperesia (Greek: Υπερησία, Hyperesia) during Homeric times. In 688 BC, Hyperesia changed to Aegira.
According to Pausanias, Hyperesia was threatened once by a hostile army from Sicyon. The locals defended their city by placing burning torches on their goats' (aiges in Greek) antlers. As a result, the invadors left in fear while the Hyperesians renamed their town Αigeira (Greek: Aίγειρα) to honor the goats.
The city was prosperous and was one of the twelve most important cities in the Achaean League. It was also a member of the Achaean league. According to Pausanias, there was a statue of Zeus and Athena as well as a temple of Artemis Agrotera.
The city was destroyed when Achaea became part of the Roman Empire. Allegedly it was destroyed by a flood. Since then, the city is 400 m above sea level. Others said it was destroyed by an earthquake.
The Austrian Archaeological Institute made excavations in Aigeira in 1916. The team along with Otto Walter found the head of the statue of Zeus which according to Pausanias was a work by the Attic sculptor Eukleides Euclid. Walter also found the left arm, the finger at the right hand later.
From 1972, excavations led by Wilhelm Alzinger excavated the Mycenaean acropolis, the ancient theatre and several naiskoi next to the theatre (naiskos (small temple)). The floor of one of is decorated with a pebble mosaic representing an eagle with a serpent. Also, the Tycheio (sanctaury of Tyche) described by Pausanias was uncovered next to the theatre. Further to the north, foundations of two small temples were explored by Anton Bammer. On the terrace north of the acropolis, a presumably public building with banqueting rooms and bathing facilities was located ande excavated by Georg Ladst

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