The highly anticipated initial public offering (IPO) of Hyundai Motor India is set to open for subscription on October 15, with the issue closing on October 17. Through this public offer, the automaker plans to raise nearly Rs 27,870 crore, marking one of the largest IPOs in recent times.
Here Are Top 10 Things to Know About the Hyundai Motor India IPO:
IPO Schedule of Hyundai Motor India IPO
The $3 billion IPO will be available for anchor investors for a day on October 14, ahead of the public subscription period from October 15 to October 17.
Price Band and Lot Size of Hyundai Motor India IPO
Hyundai Motor India has fixed the price band for its IPO between Rs 1,865 and Rs 1,960 per equity share. Investors can bid for a minimum of one lot, which consists of seven shares, with the option to apply for additional shares in multiples of seven.
Grey Market Premium (GMP) of Hyundai Motor India IPO
According to market observers, Hyundai Motor India’s IPO is seeing significant interest in the unlisted market. The current grey market premium stands at Rs 147 per share, suggesting a 7.5% premium over the issue price.
Allotment and Listing Date of Hyundai Motor India IPO
The finalization of the allotment is expected to take place on October 18. Successful applicants can expect the credited shares in their demat accounts by October 21. Hyundai Motor India is set to make its stock market debut on the BSE and NSE on October 22.
Offer for Sale (OFS) Structure of Hyundai Motor India IPO
The IPO will consist entirely of an offer-for-sale (OFS) by the promoter, Hyundai Motor Company, which is selling 14.2 crore equity shares. Notably, there is no fresh issue of shares as part of the IPO.
Reservation for Investor Categories in Hyundai Motor India IPO
Of the total IPO, 50% has been allocated for Qualified Institutional Buyers (QIBs), 15% for Non-Institutional Investors (NIIs), and the remaining 35% is reserved for retail investors.
Merchant Bankers and Registrars of Hyundai Motor India IPO
The Hyundai Motor India IPO is being managed by a consortium of top merchant bankers, including Kotak Mahindra Capital Company, Citigroup Global Markets India, HSBC Securities and Capital Markets (India), JP Morgan India, and Morgan Stanley India. KFin Technologies will act as the registrar for the IPO.
Sales Performance of Hyundai Motor India
In September 2024, Hyundai reported sales of 64,201 units, reflecting a 10% decline year-on-year. For the year so far, the company has sold 5.77 lakh units, remaining flat compared to last year’s figures.
Hyundai’s Market Position
Hyundai Motor India is the second-largest Original Equipment Manufacturer (OEM) and the second-largest exporter of passenger vehicles in India. The company currently holds a domestic market share of 14.6%.
Why is the Hyundai Motor India IPO Important?
Hyundai’s IPO will be the first public offering by an Indian automaker in two decades, following Maruti Suzuki’s debut in 2003. The offering comes at a time when Indian stock markets are hitting record highs, with a wave of new companies going public.