Indian auto parts maker Hero Motors has filed for an initial public offering of up to 12 billion rupees ($140.1 million), draft papers showed on Tuesday.
The company will issue fresh shares worth up to 8 billion rupees while its existing shareholders will sell shares worth up to 4 billion rupees, the draft prospectus showed.
Hero Motors, which counts BMW and Ducati as its clients, is led by Pankaj Munjal, who belongs to the Munjal family that runs India’s largest two-wheeler maker by volumes, Hero MotoCorp.
Proceeds from the IPO will be used to trim debt and fund purchase of equipment to expand its facility in India’s Uttar Pradesh state, Hero Motors said.
Its full fiscal year 2024 net profit fell 67% on-year, as increased expenses overshadowed a near-1% rise in revenue.
ICICI Securities, JM Financial and DAM Capital are the book running lead managers of the offering.
($1 = 85.6600 Indian rupees)
Reuters
