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Hero Motors IPO Debuts Today: Listing Expected Below Issue Price Amidst GMP Concerns
M
Moneycontrol•23-09-2026, 08:54
Hero Motors IPO Debuts Today: Listing Expected Below Issue Price Amidst GMP Concerns
- •Hero Motors' Rs 1,000-crore IPO is set to list on NSE and BSE today, September 23.
- •The latest grey market premium (GMP) indicates a potential listing at Rs 81, Rs 3 below the Rs 84 issue price, a 3.57% discount.
- •The IPO was subscribed 6.66 times overall, with retail investors subscribing 8.23 times and NIIs 9.86 times.
- •Proceeds from the IPO will fund debt repayment (Rs 190 crore), capital expenditure (Rs 200 crore), and potential acquisitions (Rs 171.99 crore).
- •Hero Motors, incorporated in 1998, designs and manufactures engineered powertrain solutions for automotive OEMs globally.
Key Questions Answered
The Hero Motors IPO was subscribed 6.66 times on the final day of bidding, which concluded on September 18, 2026, with the retail portion subscribed 8.23 times.
Hero Motors plans to use Rs 190 crore for repayment or prepayment of certain outstanding borrowings and Rs 200 crore for capital expenditure, including equipment purchases for capacity expansion at its Gautam Buddha Nagar facility.
The final issue price was fixed at Rs 84 per share for the Rs 1,000-crore book-built issue, which comprises a fresh issue of Rs 600 crore and an offer for sale aggregating Rs 400 crore.
