Hero Motors Limited

₹-

per share

Bidding Dates

Min. Investment

Lot Size

Issue Size

IPO Timeline

Bidding starts

Bidding ends

Allotment finalisation*

Refund initiation*

Demat transfer

Listing

* Refund is a 7-10 days process. If you don’t get refund then please contact your bank.

About Hero Motors Limited

Incorporated in 1991, Hero FinCorp Limited is a scaled NBFC (Non Banking Financial Company) in India that offers retail, MSME (Micro, Small, and Medium Enterprises) and CIF loans.

It provides vehicle, personal, and mortgage loans under its umbrella of retail finance. Under the MSME category, it offers secured loans against property and construction finance, and unsecured loans in the form of business loans and supply chain finance. It also offers secured loans to corporate & institutional customers like promoters, holding companies and operating entities of large corporations under its CIF wing.

It benefits from the long standing heritage of the “Hero” brand as Hero MotoCorp Limited holds a 41.19% share in the company. In FY24, it was the largest two wheeler manufacturer in India in terms of domestic unit sales of two-wheeler.

It caters to the expanding yet underpenetrated customer segment called “Aspiring India” within the annual income range of ₹0.20 to ₹1.00 million, which made up 72% of its retail customers in FY24. It reaches its customers with a team of 8,313 active field agents from 1,228 outsourced field agencies, outsourced call centers staffed with 545 executives, an in-house team of 5,653 employees, and 4,257 Hero MotoCorp Limited dealers and sub-dealers as of 31 March 2024.

Its funding sources include non-convertible debentures, commercial papers, term loans, working capital facilities, and external commercial borrowings from financial institutions.

Between FY22 and FY24, it saw a CAGR rise of 16% in its AUM (Assets Under Management). Moreover, the number of customer households in the income range that it caters to are expected to grow from 103 million in FY22 to 181 million in FY30, which could benefit the company.

And now, Hero FinCorp Limited is coming out with its initial public offer (IPO). The total IPO issue size is ₹3,668 crore comprising fresh issue, aggregating to ₹2,100 crore, as well as an offer for sale, aggregating to ₹1,568 crore. The money raised from the fresh issue will be utilized to augment its capital base to meet future business requirements. Its shares will be listed on the NSE and BSE.

Here are key details about the Hero Motors Limited IPO:

Company Name	Hero Motors Limited	Company Type	Private
Company Established On	1991	Hero Motors Limited IPO Opening Date	TBA
Hero Motors Limited IPO Closing Date	TBA	Hero Motors Limited IPO Allotment Status	TBA
Credit of Shares to the Demat Account	TBA	Hero Motors Limited IPO Listing Date	TBA
Hero Motors Limited IPO Face Value	TBA	Hero Motors Limited IPO Lot Size	TBA
Hero Motors Limited IPO Issue Size	Approx ₹3,668 crore	Hero Motors Limited IPO to be Listed on	BSE, NSE
Hero Motors Limited IPO Price band	TBA

Financial snapshot

Particulars	FY22	FY23	FY24
Revenue	₹ 4,738 crore	₹ 6,401 crore	₹ 8,290 crore
Net Profit/Loss	₹ -191 crore	₹ 479 crore	₹ 637crore

Here’s a quick look at Hero Motors Limited IPO’s strengths, weakness, opportunities and risks (SWOT analysis)

Strengths and opportunities

Diversified product offering catering to the large and attractive retail and MSME customer segments.
Benefits from Hero MotoCorp’s customer base by leveraging its extensive two-wheeler distribution, which covers 4,257 dealer touchpoints and 18,603 pin-codes across 36 states and Union Territories in India as of 31 March 2024.
Strong customer franchise acquired through a pan-India distribution network with an overall customer base of 11.80 million customers including 5 million active retail customers, 29,060 active MSME customers and 360 active CIF customers as of 31 March 2024.
Strong cross-selling potential as the average number of lending and non lending products per customer in FY24 was 1.45 and 2.80, respectively.
Well-integrated technology platform that allows it to control its extensive distribution and collections network, thereby offering a customized customer experience.
Prudent risk management, robust underwriting, and data analytics capability with an IT and analytics team of 256 employees as of 31 March 2024 and a dedicated technology office in Bangalore.
Strong credit ratings of “AA+ with stable outlook” from CRISIL, ICRA, and CARE along with its commercial papers rated “A1+” by CRISIL, CARE and ICRA as of FY24.

Risks and threats

Dependent almost entirely on two-wheeler loans from its promoter - Hero MotoCorp, as they made up 99% of its two-wheeler loans in FY24.
Changes in interest rates may affect its treasury operations, causing its net interest income to decline.
Unsecured loans comprised 39% of its total AUM in FY24, and the inability to recover such receivables might affect its finances negatively.
Incurred a loss of ₹191 crore in FY22 due to writing off a significant portion of its stage 3 loan.
Inability to secure funding on acceptable terms and at competitive rates may have an adverse effect on its business.
Has experienced a ratings downgrade in the past, and a future downgrade could increase its borrowing costs and adversely affect its ability to obtain funding.
Operates in a highly competitive industry and competes against other NBFCs, Indian and foreign commercial banks, HFCs, small finance banks, microfinance companies and private unorganized and informal financiers in India.
Has incurred negative cash flows from operating activities consistently in the last three fiscals.
Has total borrowings of ₹43,917 crore as of 30 June 2024 which imposes certain conditions and restrictions.
Subjected to seasonal trends in the Indian economy.

Hero Motors Limited IPO details

| Hero Motors Limited IPO date

According to the offer document filed by the company with the SEBI, the Hero FinCorp IPO’s opening date – in other words, the Hero FinCorp IPO launch date – is yet to be announced. The Hero FinCorp IPO closing date is yet to be announced. After this, investors will be updated about the allotment status on a date which is yet to be announced.

Investors, who have been allotted shares, can expect them to be credited to their demat account on a date that is yet to be announced. The Hero FinCorp IPO listing date is yet to be announced. The listing date is the date on which the shares of a company get listed on the bourses – NSE and BSE.

| Hero Motors Limited IPO Price Band

The IPO is a fresh issue as well as an offer for sale. The Hero FinCorp IPO price band is yet to be announced. Interested investors can choose a price within this band to apply for the IPO.

The Hero FinCorp IPO listing price is yet to be announced. The listing price is the price at which a company’s shares debut on the stock exchanges.

| Hero Motors Limited IPO Lot size

The Hero FinCorp IPO details have not been declared. The Hero FinCorp IPO lot size is yet to be announced and an investor can apply for a minimum of 1 lot. Meanwhile, the Hero FinCorp IPO issue size is approx ₹3,668 crore.

How to pre-apply for the Hero Motors Limited IPO?

You can pre-apply for the Hero Motors Limited IPO on Upstox. The pre-application for this IPO, which means pre-apply open date, usually begins a day before the IPO opens for subscription.

Follow these steps to pre-apply for the IPO:

Login to your Upstox account, using your six-digit PIN
After successfully logging in, click on ‘Discover’
On the Discover tab, you will find the ‘Invest in IPO’ section
Under the Invest in IPO section, look for the ‘Hero Motors Limited IPO’ tab and click on it
Now fill in all the required information, like ‘bid price’ and ‘lot size’
Confirm and click on ‘Pre-Apply’
Accept the mandate on your UPI app

How to apply for the Hero Motors Limited IPO?

If you are interested in this investment opportunity but unsure how to apply for the Hero Motors Limited IPO, here we are listing out the steps for you.

When the public issue opens for subscription, one can follow this step-by-step guide on how to apply for the Hero Motors Limited IPO on Upstox:

Login to your Upstox account, using your six-digit PIN
After successfully logging in, click on ‘Discover’
On the Discover tab, you will find the ‘Invest in IPO’ section
Under the Invest in IPO section, look for the ‘Hero Motors Limited IPO’ tab and click on it
Now fill in all the required information, like ‘bid price’ and ‘lot size’
Confirm and click on ‘Apply’
Accept the mandate on your UPI app

How to check the Hero Motors Limited IPO allotment status?

When the allotment process is completed, you can check the status of your application on the Upstox app. Share allotment is generally done around five to six days after an IPO closes.

Here’s a step-by-step guide on how to check the Hero Motors Limited IPO allotment status:

Login to your Upstox account, using your six-digit PIN
After successfully logging in, click on ‘Discover’
On the Discover page, you will find the ‘Invest in IPO’ section
Under the Invest in IPO section, you will find the ‘View all’ option
Once you click on ‘View all’, you will be directed to the ‘IPO’ tab
In the ‘IPO’ tab, click on ‘My applications’
In ‘My applications’, under the History section, your Hero Motors Limited IPO allotment status will be mentioned

Check Allotment Status

Open a demat account with Upstox to apply for the Hero Motors Limited IPO

To apply for the Hero Motors Limited IPO, you need to mandatorily have a demat account. A demat account helps you hold the shares you buy in a dematerialised format. If you don’t have a demat account yet, you can open one with Upstox by visiting our website or by downloading the app.

Here is a step-by-step guide on how to open a demat account with Upstox:

Click here to visit the demat account opening page on the Upstox website.
Enter your phone number and other essential details to begin opening a demat account.
Upload the scanned copies of your PAN, Aadhaar card, a cancelled cheque, and your bank statement as needed.
Complete the e-verification using the OTP sent to your registered mobile number.

This is all it takes to open a demat account with Upstox. Easy and quick, right?

Open Demat Account

Upstox – trading app to apply for the Hero Motors Limited IPO

Applying for IPOs with Upstox is extremely easy. The user-friendly interface and top-notch security make Upstox one of the leading trading apps in India.

You can apply for the Hero Motors Limited IPO on Upstox, provided you have a demat account. As mentioned in the previous section, you can simply follow the steps to open a demat account with Upstox. The biggest advantage is that when you apply for an IPO using your Upstox account, the brokerage charges are zero.

In fact, courtesy of its robust features and minimal charges, Upstox is among the most preferred trading apps. Lakhs of Indians trust Upstox as it is a reliable trading platform that makes IPO applications easy.

IPO analysis

Registrar information

Name

KFin Technologies Limited

Phone number

+91 40 6716 2222

Email ID

hml.ipo@kfintch.com

Red herring prospectus

View documents submitted by company in filing to understand more details about them.

FAQs

How can you pre-apply for the Hero FinCorp IPO?

Pre-applying for the Hero FinCorp IPO means applying for this public issue before it goes live. Pre-apply for the Hero FinCorp IPO start soon.

When does pre-apply for the Hero FinCorp IPO open and how can you pay for it?

You can pre-apply for the Hero FinCorp IPO on Upstox soon. Once the IPO goes live, you will receive a UPI mandate. Accept this to block the IPO application amount and successfully place your bid.

How to apply for Hero FinCorp IPO? Or How to invest in the Hero FinCorp IPO?

You can apply on Upstox’s website and app, once the Hero FinCorp IPO opens for the subscription.

When does the Hero FinCorp IPO open and close for the subscription?

The Hero FinCorp IPO launch date is yet to be announced. The Hero FinCorp IPO will be open for subscription till the date which is yet to be announced.

What’s the lot size and minimum investment needed for the Hero FinCorp IPO?

The Hero FinCorp lot size is yet to be announced and the minimum investment required is yet to be announced.

What is the price band for the Hero FinCorp IPO?

The Hero FinCorp IPO price band is yet to be announced.

What’s the size of the Hero FinCorp IPO?

The size of the Hero FinCorp IPO is approx. ₹3,668 crore.

How many bids can I place for the Hero FinCorp IPO?

You can place up to three bids for an application.

Can these bids be placed at different times during the IPO subscription period?

No, the bids have to be placed in one go. If you want to add an additional bid, then you would have to delete your application and re-apply.

When will Hero FinCorp shares be credited to your demat account?

If shares are allotted, then they will be credited to your demat account on a date which is yet to be announced.

Which exchanges will Hero FinCorp shares list on?

Hero FinCorp shares will be on NSE and BSE.

When will Hero FinCorp shares list on the exchanges?

Hero FinCorp shares’ listing date is yet to be announced.