Hero Motors IPO opens tomorrow; GMP signals 29% potential listing upside. Check key details

The much-awaited Hero Motors IPO is set to open for subscription tomorrow, September 16, 2026, kicking off a three-day bidding window for investors. The issue will remain open until September 18, 2026, as market participants eye the company’s debut on the bourses.

Adding to the buzz, Hero Motors is currently commanding a 27% premium in the grey market, indicating that investors expect a potentially strong listing gain if the current GMP trend holds.

The Rs 1,000 crore Hero Motors IPO is a book-built issue comprising a fresh issue of 7.14 crore shares worth Rs 600 crore and an offer for sale (OFS) of 4.76 crore shares worth Rs 400 crore.


The IPO has a price band of Rs 79–Rs 84 per share, with a minimum lot size of 178 shares. At the upper end of the price band, retail investors will need to shell out a minimum of Rs 14,952 to bid for one lot.

Hero Motors IPO opens for subscription on Sep 16, 2026 and will close on Sep 18, 2026. The allotment for the Hero Motors IPO is expected to be finalized on September 21, 2026. Hero Motors IPO will list on the NSE and BSE with a tentative listing date fixed as September 23, 2026.

ICICI Securities Ltd. is the book-running lead manager for the issue, while Kfin Technologies Ltd. is acting as the registrar.

Hero Motors GMP IPO

The IPO is currently commanding a Grey Market Premium (GMP) of Rs 23, translating to a 27% premium over the upper price band of Rs 84. Based on the current GMP, Hero Motors IPO’s estimated listing price stands at around Rs 107, indicating a potential listing gain of nearly 27% if the GMP holds until listing.

Note: GMP is an unofficial market indicator and can change before listing. It does not guarantee the actual listing price or returns.

Hero Motors IPO Issue Objectives

The company plans to use a portion of the IPO proceeds to repay, prepay or redeem certain outstanding borrowings, either fully or partially. It will also allocate funds towards capital expenditure, including purchasing equipment to expand the capacity of its facility in Gautam Buddha Nagar, Uttar Pradesh.

The remaining proceeds will be used to support the company’s inorganic growth plans, including potential acquisitions and other strategic initiatives. A portion of the funds will also be utilised for general corporate purposes.

Financial Performance

Hero Motors Ltd. reported a 9% increase in total income, rising from Rs 1,111.23 crore in FY25 to Rs 1,216.74 crore in FY26. The company’s profit after tax (PAT) grew 26%, from Rs 32.80 crore in FY25 to Rs 41.17 crore in FY26, reflecting an improvement in profitability during the year.

About Hero Motors Ltd.

Incorporated in April 1998, Hero Motors Limited is an automotive technology company engaged in designing, developing and manufacturing powertrain solutions for OEMs across the US, Europe, India and ASEAN. Its products cater to electric and non-electric applications across two-wheelers, e-bikes, passenger and commercial vehicles, off-road vehicles and eVTOLs.

The Company specializes in CVTs, EV transmissions, electric motors, integrated drive units and gear sets, and has a strong position in the global e-bike powertrain market. It is the only Indian manufacturer producing and exporting CVT hubs and integrated electric powertrain products for e-bikes.

Its operations comprise Powertrain Solutions—including Gears & Transmissions (G&T) and Bike Powertrain (BPT)—and Alloys & Metallics (A&M), which supplies sheet metal and tubular components to automotive OEMs.

Hero Motors has established relationships with customers including BMW, Ducati, enviolo, Formula Motorsport, Hummingbird EV and HWA, supported by in-house engineering and global technology partnerships.

As of March 31, 2026, the Company had 1,388 permanent employees and 707 contract labourers.

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