Hero Motors Ltd, the auto-components company of the Hero Motors Company (HMC) Group, on Saturday submitted initial documents with markets regulatory authority Sebi to elevate Rs 900 crore with a going public (IPO). The IPO is a mix of a fresh problem of equity shares worth Rs 500 crore and an Offer-For-Sale (OFS) of shares valued at Rs 400 crore by marketers, according to the draft red herring syllabus (DRHP).
The OFS consists of Rs 250 crore well worth of shares by O P Munjal Holdings, and Rs 75 crore each by Bhagyoday Investments and Hero Cycles.
The business might think about a pre-IPO positioning of Rs 100 crore. If such positioning is finished, the fresh problem dimension will certainly be minimized.
Proceeds from the fresh problem to the song of Rs 202 crore will certainly be utilized for financial obligation settlement, Rs 124 crore for acquisition of devices needed for growth in capability of the business’s center in Gautam Buddha Nagar, Uttar Pradesh.
Hero Motors is India’s leading automobile modern technology business participated in developing, creating, making and providing high crafted powertrain remedies service provider to automobile OEMs in the United States, Europe, India, and the ASEAN area.
The business’s item array consists of both electrical and non-electric powertrains for numerous automobile groups consisting of two-wheelers, e-bikes, off-road cars, electrical and hybrid autos and durable cars Hero Motors runs in 2 sectors– powertrain remedies, and alloys and metallics. It has 6 production centers throughout India, the United Kingdom, and Thailand.
Hero Motors’ earnings from procedures stood Rs 1,064.4 crore in the monetary 2024.
ICICI Securities, DAM Capital Advisors, and JM Financial are the book-running lead supervisors to the problem.
