Hero FinCorp has secured approval from the Securities and Exchange Board of India (SEBI) for its ₹3,668 crore Initial Public Offering (IPO). The market regulator’s update on May 22 confirmed the clearance, following the company’s submission of its Draft Red Herring Prospectus (DRHP) in August 2024.
The IPO will comprise a fresh issue of equity shares worth ₹2,100 crore and an Offer for Sale (OFS) amounting to ₹1,568 crore. Existing investors participating in the OFS include AHVF II Holdings Singapore II Pte. Ltd, Apis Growth II (Hibiscus) Pte. Ltd, Link Investment Trust (via Vikas Srivastava), and Otter Ltd.
As per the DRHP, the net proceeds from the fresh issue will be used to augment Hero FinCorp’s capital base to support future lending activities.
SEBI’s issuance of observations on May 22 signifies its approval for the launch of the IPO. The company is expected to announce further details regarding the offer timeline and pricing in the coming weeks.
