The company has set a price band of Rs 79 to Rs 84 per equity share, with a face value of Rs 10 each.
The IPO comprises a fresh issue of equity shares worth up to Rs 600 crore, and an offer-for-sale (OFS) of shares worth up to Rs 400 crore by promoters O P Munjal Holdings and Hero Cycles. Investors can bid for a minimum of 178 equity shares and in multiples of 178 shares thereafter.
Of the proceeds from the fresh issue, Rs 190 crore will be used for repayment, prepayment or redemption, in full or part, of certain outstanding borrowings; Rs 200 crore will be allocated for capital expenditure, including the purchase of equipment for capacity expansion at the company’s facility in Gautam Buddha Nagar, Uttar Pradesh.
Some part of the proceeds will also be used to fund inorganic growth through acquisitions and other strategic initiatives and for 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. The IPO will follow the book-building process, with up to 50% of the net offer reserved for qualified institutional buyers, at least 15% for non-institutional investors, and not less than 35% for retail investors.
Hero Motors provides integrated powertrain solutions spanning design, prototyping, validation, development and delivery of system- and component-level solutions for electric and non-electric powertrains. Its product portfolio caters to diverse mobility applications, including two-wheelers, performance automobiles, e-bikes, off-road vehicles, electric and hybrid cars, heavy-duty vehicles and electric vertical take-off and landing applications.
Its global customer base includes BMW, Ducati, Enviolo, Formula Motorsport, Hummingbird EV and HWA, along with global e-bike manufacturers and customers in aerospace and other mobility segments.
The company initiated its IPO process by filing a draft red herring prospectus with SEBI in June 2025, and received approval in September 2025.