Hyundai Motor India IPO, the largest public issue thus far has opened for retail investors on October 15 and will close on October 17. The second largest passenger vehicle maker in India, by market share, aims to raise  Rs 27,870 crore through this issue. The IPO is entirely an offer for sale of 14.22 crore shares. This means the entire proceeds will go to the promoter selling the stake. This further means that no money raised via IPO will be utilised for the company’s betterment. 

Hyundai Motor IPO Price Band

The company’s IPO price band ranges between Rs 1,865- 1,960 per equity share. A retail buyer can apply for a minimum of one lot that contains seven shares, amounting to Rs 13,720. There are different lot sizes for small and big NIIs.

Hyundai Motor IPO GMP

The company’s shares were attracting a premium of 2.3% in the grey market. It indicates stocks’ listing gains. The grey market premium for Hyundai India shares has continuously declined ahead of the IPO, currently standing at around Rs 45. The GMP has plunged over 89% from its previous high of Rs 570.

Hyundai India Allotment and Listing Details

The company will finalise the share allotment on October 18. The registrar takes care of the allotment of shares, in this case Kfin Technologies. The listing on NSE and BSE will likely be on October 22. 

Hyundai Motor Employee Reservation

The company kept aside up to 778,400 shares for employees, which are available to them at a discount of Rs 186 to the issue price. 

Expert’s Take on Hyundai Motor IPO

“Hyundai Motor has been the second largest contributor to PV volumes since FY09 and has maintained its position since then due to continued traction for popular SUV models like Creta and Venue coupled with new vehicle launches and the launch of upgrades of its popular models. The company intends to continue the premiumization of its passenger vehicle portfolio and focus on calibrated manufacturing capacity expansion and efficient capital allocation. The issue is fully priced and investors interested in the company can invest in the IPO for long term,” said Master Capital Services in a research report. 

BRLMs and Registrar

Kotak Mahindra Capital Company, Citigroup Global Markets India, HSBC Securities & Capital Markets, J.P. Morgan India, and Morgan Stanley India Company are the lead book runners of the issue. Kfin Technologies has been chosen to work as the registrar.