Hero Motors opens ₹1,000cr IPO, retail portion 1.96x subscribed
Hero Motors, an automotive technology company engaged in designing, developing, manufacturing and supplying engineered powertrain solutions to OEMs, just kicked off its ₹1,000 crore IPO and it's already making waves.
By day one, the offer was subscribed 1.18 times, with retail investors especially pumped (their portion hit nearly double at 1.96 times).
The IPO will remain open for subscription till September 18, and if you're curious about trading, shares are set to list on September 23.
IPO split: ₹600cr fresh ₹400cr offer-for-sale
The IPO includes a fresh ₹600 crore issue and a ₹400 crore offer-for-sale from OP Munjal Holdings and Hero Cycles.
Before this, Hero Motors locked in nearly ₹300 crore from anchor investors.
Most of the funds will help pay off debt (₹190 crore) and boost production capacity at their Gautam Buddha Nagar plant (₹200 crore).
The rest is aimed at future growth moves: think strategic acquisitions and inorganic growth through unidentified acquisitions, other strategic initiatives, and general corporate purposes.