Hero Motors IPO Subscription Status Day 1: Retail Portion Booked 31 Percent on Opening Day
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Hero Motors IPO Subscription Status: The issue had drawn bids for 1.78 crore shares, taking overall subscription to 0.20x as of 10:25 am on September 16, with retail investors subscribing 0.31x of their quota.
Hero Motors IPO saw a measured response in the early hours of bidding on September 16, with the issue subscribed 0.20 times by 11:25 am, according to NSE data. Retail investors subscribed 0.31 times their reserved portion, while the NII category was subscribed 0.21 times.
The IPO had attracted bids for 1,77,69,562 shares against the 8,86,07,596 shares available for subscription by 10:25 am. The Rs 1,000-crore issue, which carries a price band of Rs 79-84 per share, will remain open until September 18.
The public issue comprises a fresh issue of Rs 600 crore and an offer-for-sale of Rs 400 crore by promoters O P Munjal Holdings and Hero Cycles. Before the IPO opened, Hero Motors raised nearly Rs 300 crore from anchor investors through the allotment of 3.57 crore shares at Rs 84 apiece.
The company plans to use part of the fresh capital to repay or prepay debt and purchase equipment for capacity expansion at its Gautam Buddha Nagar facility in Uttar Pradesh. The remaining proceeds are earmarked for acquisitions and general corporate purposes.
ICICI Securities, DAM Capital Advisors and JM Financial are the book-running lead managers for the issue, while KFin Technologies is the registrar. Hero Motors shares are scheduled to list on the NSE and BSE on September 23, subject to completion of the IPO process.
Subscription Status Day 1
The following subscription figures are as of 11:25 am on September 16, according to NSE data.
Day 1 | To be updated | 0.31x | 0.21x | 0.20x |
Bidding Details
The following bidding data is as of 10:25 am on September 16, according to NSE data.
QIB | 0x |
Retail | 0x |
NII | 0x |
Total | 8,86,07,596 |
Subscription Rate
The subscription rates below are as of 10:25 am on September 16, according to NSE data.
QIB | To be updated |
Retail | 0.31x |
NII | 0.21x |
Total | 0.20x |
Book Running Lead Managers
ICICI Securities, DAM Capital Advisors and JM Financial are the book-running lead managers for the Hero Motors IPO.
Hero Motors' IPO will remain open for subscription until September 18. With two more bidding days remaining, participation across the QIB, retail and NII segments will determine how subscription levels develop before the issue closes, followed by the allotment process and tentative September 23 listing.
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This article is for informational purposes only and should not be considered investment advice from Kotak Neo. For compliance T&C and disclaimers, Visit www.kotakneo.com/disclaimer
Rochelle Britto has spent 8+ years decoding India's markets, businesses, and consumer economy, reporting for ET Prime and Times Internet along the way, covering the stories behind the numbers.
A Mumbai native and perpetual planner of the next holiday, she stays far, far away from the eternal question, “Where are we going next?” When she's not chasing headlines, she's chasing new cultures, open roads, and a bit of quiet in nature.
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