Hero Motors shares jump over 7% trading 78% above IPO
Hero Motors shares shot up over 7% on Wednesday and are now trading at a massive 78% above their IPO price of ₹84.
The rally followed after Irage Broking Services LLP bought 34,01,332 shares and sold 12,12,381 shares on September 28.
Interestingly, the stock started out below its IPO price when it debuted last week but quickly bounced back to close 17.27% higher on BSE and 17.14% higher on NSE.
Hero Motors ₹1000cr IPO subscribed 6.66x
Hero Motors isn't just any auto company: they make powertrain tech for big names like BMW and Ducati.
Their ₹1,000 crore IPO was a hit, getting subscribed 6.66 times. The funds will help pay off debt, expand their Uttar Pradesh facility, and fuel acquisitions.
Plus, they're betting big on electric vehicles with powertrain solutions for EVs and hybrids.
Still, experts say investors should watch out for high valuations and reliance on a few key customers going forward.