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Hero Motors gets Sebi's nod to raise Rs 1,200 crore via IPO

16 Sep 2025 Evaluate

Hero Motors has received the Securities and Exchange Board of India’s (SEBI's) approval to raise Rs 1,200 crore through an initial public offering (IPO). The IPO is a combination of a fresh issue of equity shares worth Rs 800 crore and an offer-for-sale (OFS) of shares worth Rs 400 crore by promoters. 

Proceeds from the fresh issue to the extent of Rs 285 crore will be used for payment of debt, Rs 237 crore for purchase of equipment for capacity expansion at the company's facility in Gautam Buddha Nagar, Uttar Pradesh. Also, a portion will be utilised for funding inorganic growth through unidentified acquisitions and other strategic initiatives and general corporate purposes. ICICI Securities, DAM Capital Advisors, and JM Financial are the book-running lead managers to the issue. The equity shares are proposed to be listed on BSE and NSE. 

Hero Motors is one of India's leading automotive technology companies engaged in designing, developing, manufacturing and supplying highly engineered powertrain solutions catering to automotive original equipment manufacturers (OEMs) in the United States, Europe, India and the Association of Southeast Asian Nations (ASEAN,) region. 


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