Hero Motors fixes price band for ₹1,000 Crore IPO; Check all the other details here

Auto components and advanced mobility manufacturer Hero Motors Ltd. has fixed the price band for its ₹1,000 crore Initial Public Offering (IPO), which will open for subscription on Wednesday, September 16 and close on Friday, September 18.

Hero Motors will be selling shares in a price band of ₹79 to ₹84 per share. Each share will carry a face value of ₹10 each.

The ₹1,000 crore IPO will be a mix of fresh issue of equity worth ₹600 crore and an Offer For Sale (OFS) worth ₹400 crore.

One lot will comprise of 178 shares of Hero Motors and retail investors will have to make a minimum investment of ₹14,952 for the same and then bid in multiples of 178 shares thereafter.

35% of the IPO is reserved for retail investors. 50% of the issue is reserved for the institutional investors, while the rest will be for non-institutional investors (NIIs).

At the upper end of the price band, Hero Motors will have a market capitalization of ₹3,815 crore. As a result of the OFS, the promoter holding in the company will fall to 61.63% from 85.57% earlier.

ICICI Securities, DAM Capital and JM Financial are the book running lead managers for this issue, while Kfin Technologies is the official registrar.

Allotment of the shares to eligible investors will take place on September 21, and these shares will be credited to the demat account of shareholders on September 22.

Shares of Hero Motors will make their stock market debut on Wednesday, September 23.

Hero Motors also produces high-end transmission systems, drive units and engine components and counts major international brands such as BMW, Ducati, and other two-wheeler and electric bicycle manufacturers as its key clients.