Hero Motors Limited IPO
ListedMainboardAuto Ancillaries
7.01×
Subscribed
Price band
₹79 – ₹84
Lot size
178
1 lot = ₹14,952
Issue size
₹1k Cr
Open – close
16 Sept 2026
to 18 Sept 2026
Listing
23 Sept 2026
Listing gain
-2.38%
What the filing actually says
Our read of the offer document and the exchange data — not the issuer's summary of itself
Caution6 of 7 dimensions read
The filing raises real questions — 3 of 8 signals read negative
Strength44/100
- Priced above its peers73.7× earnings against a peer median of 56.1×
- Earns less than its peersReturn on net worth of 8.5% against a peer median of 15.3%
- Slow revenue growthRevenue compounding at only 5.7%
- Profit growth outpaces salesPAT up 55.5% a year against revenue at 5.7% — check whether that is operating leverage or a one-off before extrapolating it
- Low return on equityROE of 8.6% — the business earns little on the capital it already has
- Conservative balance sheetDebt/equity of 0.36×
- Fresh capital for the business100.0% of the issue is fresh capital raised by the company itself
- Institutional book coveredQIB portion subscribed 1.59×
Every line above is arithmetic on a figure shown elsewhere on this page - no model, no opinion. It describes the quality of the offering as disclosed. It is not a prediction of the listing price, and it is not advice to apply.
Dates
The issuer's tentative timetable — a date passing is not confirmation the step completed
- Opens16 Sept 2026
- Closes18 Sept 2026
- Allotment21 Sept 2026
- Listing23 Sept 2026
Demand and your odds
How the book filled, and what that means for an application
Subscription by category
Qualified institutionalQIB1.59x
Non-institutionalNII / HNI10.47x
Big NIIabove ₹10L8.62x
Small NII₹2L – ₹10L14.17x
Retail individualRII8.62x
16,26,725 applications received — how many people bid, as opposed to how much money did. Exchange figures as of 18 Sept 2026.
Chance of allotment
Retail8.62× subscribed
~1 in 8.6
Minimum 1 lot · 178 shares · ₹14,952 blocked
Retail is 8.62× subscribed. Allotment is a lottery on a single lot, so roughly 1 in 8.6 applications gets one lot. Bidding for extra lots does not improve these odds.
HNI / NII10.47× subscribed
~1 in 10.5
Minimum 14 lots · 2,492 shares · ₹2,09,328 blocked
HNI is 10.47× subscribed. This category is allotted proportionately, so a bid receives roughly 1/10.5 of the shares applied for, subject to the minimum-lot draw.
Derived from SEBI's allotment mechanics and the subscription figures beside it. Retail allotment is a lottery on a single lot, so applying for more lots does not improve your chance of getting something.
Grey market premium
Unofficial dealer quotes — not published by NSE, BSE, SEBI or the company
₹24+28.6%
over the upper band · last seen 24 Sept 2026 · flat since 13 Sept 2026
What this number is not. Grey-market premium is an unregulated, thinly-traded quote from private dealers. It is not a forecast of the listing price, it is not verifiable, and it can be moved by the same people who benefit from it looking high. We publish it because you will look it up anyway — and we deliberately do not convert it into an expected listing gain, because that arithmetic implies a reliability the number has never earned. For what actually happened to comparable issues, see recent outcomes below.
The offering
Terms, structure and who is selling
Terms
Price band₹79 – ₹84
Face value₹10
Lot size178shares
Minimum application₹14,952at cut-off
Total issue size₹1k Cr
Listing atMainboard
Anchor investorsAllotted
Company & valuation
P/E at upper band73.68×
EPS₹0.86pre-issue
NAV per share₹12.72
Return on equity8.56%
Debt / equity0.36×
ROCE19.77%
RoNW8.53%
PAT Margin3.46%
EBITDA Margin12.44%
NAV12.72
Price to Book Value6.60
ISININE012G01022
RegistrarKARVY
Lead managersICICI Securities Limited, DAM Capital Advisors Limited, JM Financial Limited
0.0% of this issue is an offer for sale. The rest is fresh capital that goes into the company itself.
Who gets what
How the issue is split between investor categories, and what each may bid.
| Category | Shares | % of issue |
|---|---|---|
| QIB | 5,95,23,809 | — |
| Anchor Investor | 3,57,14,284 | — |
| QIB (Ex. Anchor) | 2,38,09,525 | — |
| NII (HNI) | 1,78,57,143 | — |
| bNII > ₹10L | 1,19,04,762 | 4777.00% |
| sNII < ₹10L | 59,52,381 | 2388.00% |
| Retail | 4,16,66,666 | 234082.00% |
Total issue 11,90,47,618 shares. Indented rows sit inside the category above them and are not added to it.
What each category may bid
Retail (Min)₹14,9521 lot · 178 sh
Retail (Max)₹1,94,37613 lots · 2,314 sh
S-HNI (Min)₹2,09,32814 lots · 2,492 sh
S-HNI (Max)₹9,86,83266 lots · 11,748 sh
B-HNI (Min)₹10,01,78467 lots · 11,926 sh
Lot size alone does not answer "how much do I need" — an S-HNI minimum is several lots, not one.
Anchor book
Shares allotted3,57,14,284
Anchor portion₹300 Cr
Bid date15 Sept 2026
Lock-in ends (50%)21 Oct 2026
Lock-in ends (rest)20 Dec 2026
Anchors are institutional money placed a day before bidding opens, against a lock-in. Those two dates are when that stock can first be sold — a supply event worth knowing if you still hold.
What the money is for
Stated use of the net proceeds
- 01Repayment/prepayment/redemption, in full or in part, of certain outstanding borrowings availed by our Companynot stated
- 02Capital expenditure of our Company through purchase of equipment required for expansion in capacity of our Gautam Buddha Nagar, Uttar Pradesh facilitynot stated
- 03Funding inorganic growth through unidentified acquisitions and other strategic initiatives and general corporate purposesnot stated
Objects with no stated amount — typically general corporate purposes — are funded from whatever remains, so the quantified figures do not sum to the whole issue.
Financials
Restated figures as reported in the offer document, ₹ crore
| Period | Revenue | EBITDA | PAT | Net worth | Debt |
|---|---|---|---|---|---|
| 2024 | 1,064.386 | — | 17.035 | 374.816 | — |
| 2025 | 1,089.593 | — | 32.796 | 426.008 | — |
| 2026 | 1,188.351 | — | 41.168 | 481.008 | — |
Revenue CAGR 5.7%PAT CAGR 55.5%
How the issuer compares
The listed companies the offer document itself names as comparable.
| Company | EPS | P/E | NAV | RoNW |
|---|---|---|---|---|
| Hero Motors Limitedthis issue | 1.15 | — | 12.72 | 8.53% |
| CIE Automotive India Limited | 21.69 | 17.68 | 164.65 | 13.18% |
| Endurance Technologies Limited | 67.66 | 40.84 | 442.54 | 15.29% |
| Sona BLW Precision Forgings Limited | 10.30 | 76.50 | 93.93 | 10.77% |
| UNO Minda Limited | 20.78 | 59.84 | 113.77 | 19.59% |
| Varroc Engineering Limited | 14.73 | 56.15 | 80.45 | 18.70% |
Blank cells are figures the offer document does not publish. An unlisted issuer has no market price, so it has no price-based multiple until it lists — which is exactly why the comparison is against companies that already trade. The peer set is the issuer's own selection, so read it as the flattering-est comparison available rather than a neutral one.
Risks worth reading
Ranked by our severity assessment, not by the order the prospectus prints them
mediumRevenue from operations is significantly dependent on the European market, contributing 33.59%, 28.45% and 29.33% of revenue in Fiscal 2026, 2025 and 2024 respectively.
mediumThe business is dependent on the performance of the e-bikes and two wheelers industries, both in India and overseas, with sales directly dependent on the production levels of these industries.
mediumThe business depends on a limited set of suppliers for critical raw materials, with no definitive supply agreements with all suppliers, and relies on purchase orders to customize specifications.
Positives the filing discloses (2)
Primarily fresh capital
100% of the offer is fresh issue, so most proceeds fund the company.
Low leverage
Debt-to-equity of 0.36x.
What happened to comparable issues
The last 8 issues to list with a recorded opening price, most comparable first
Median listing gain
+6.1%
Listed up
6 of 8
Best
+65.7%
Tonbo Imaging India Limited
Worst
-2.3%
Vishal Nirmiti Limited
Zetwerk Manufacturing Businesses Limitedsame segment
3.1× sub+5.5%
Tonbo Imaging India Limitedsame segment
135.9× sub+65.7%
Sahajanand Medical Technologies Limitedsame segment
14.2× sub+7.9%
Bonfiglioli Transmissions Limitedsame segment
46.0× sub+0.0%
Fusion CX Limitedsame segment
4.5× sub+5.5%
HD Fire Protect Limitedsame segment
131.7× sub+23.6%
Nityas Gems and Jewellery Limitedsame segment
2.3× sub+6.7%
Vishal Nirmiti Limitedsame segment
1.7× sub-2.3%
Past issues are context, not a forecast — this issue is a different company at a different price. We show it because "how have issues like this one actually opened" is a question with a real answer, and grey-market premium is not that answer.
About Hero Motors Limited
Hero Motors is an automotive technology company engaged in designing, developing, manufacturing, and supplying powertrain solutions to automotive OEMs in the United States, Europe, India, and the ASEAN region. Its offerings cover design, prototyping, validation, development, and delivery of system-level and component-level solutions for electric and non-electric powertrains. The company’s products are used across two-wheelers, performance automotive, e-bikes, off-road vehicles, electric and hybrid cars, heavy-duty vehicles and eVTOL applications. Its key offerings include continuously variable transmissions (CVT), EV transmissions, electric motors, integrated drive units and gear sets. The company operates through two business segments: Powertrain Solutions and Alloys and Metallics (A&M). Powertrain Solutions comprises Gears and Transmissions (G&T) and Bike Powertrain (BPT), while A&M provides sheet metal and tubular assemblies and component solutions primarily to automotive OEMs. As of FY26, the company operated six manufacturing facilities across India, the United Kingdom and Thailand, along with two technology centres in the United Kingdom and India. It has in-house design, engineering, manufacturing, testing and validation capabilities and is also setting up additional facilities in Ludhiana, Punjab and Bengaluru, Karnataka.
Founded 1998MD Mr Amit GuptaSector Auto Ancillaries
Offer documents
The primary sources everything above is drawn from
Common questions
What is the Hero Motors Limited IPO GMP today?
The most recent grey-market premium recorded for Hero Motors Limited is ₹24 per share — about 28.6% over the ₹84 upper band. Grey-market premium is an unofficial, unregulated quote from private dealers. It is not published by NSE, BSE, SEBI or the company, and it is not a forecast of the listing price.
How many times is the Hero Motors Limited IPO subscribed?
Hero Motors Limited is subscribed 7.01× overall (QIB 1.59×, NII 10.47×, retail 8.62×). Subscription keeps changing until the issue closes; the final basis of allotment is published by the registrar, KARVY.
What is the minimum investment in the Hero Motors Limited IPO?
One lot is 178 shares, so a retail application at the ₹84 cut-off price blocks ₹14,952. Retail applications are capped at ₹2,00,000; above that you bid in the HNI category, where allotment is proportionate rather than by lottery.
What are the chances of allotment in the Hero Motors Limited IPO?
The retail portion is subscribed 8.62×, so allotment is by lottery and the odds of receiving at least one lot are roughly 1 in 9. Applying for more lots does not improve the chance of getting something — every retail applicant competes for the same single minimum lot.
When is the Hero Motors Limited IPO allotment date?
Allotment is scheduled for 2026-09-21, with listing on 2026-09-23. These dates are the issuer's tentative timetable — a date passing is not confirmation that the step completed. Allotment status is published by the registrar, KARVY.
Disclaimer. Figures are compiled from the issuer's offer document and exchange-published bidding data. Subscription changes until the issue closes, and the final basis of allotment is published by the registrar. Grey-market premium is unofficial and is not a forecast. Nothing here is investment advice or a recommendation — read the offer document and consult a SEBI-registered adviser before applying.