New Delhi : Hyundai Motor India Ltd IPO saw a 9 pc subscription rate few hours before closing of the bidding on Tuesday (October 15, 2024). According to NSE data as of 11:39 hours, the IPO for Rs 27,870 crore had bids for 89,92,522 shares, compared to the 9,97,69,810 shares available for sale. Retail Individual Investors portion was subscribed by 15 percent, while the non-institutional investors category received a subscription of 6 percent.
On Monday, Hyundai Motor India Ltd (HMIL) raised Rs 8,315 crore from anchor investors. This IPO is the biggest in the nation, exceeding LIC's first share offering of Rs 21,000 crore. The initial public offering (IPO) will be open for public subscription from October 15 to October 17, with a share price range of Rs 1,865-1,960.
Hyundai to sell 14.2 crore shares in first IPO via 'Offer for Sale'
The IPO consists of 14,21,94,700 equity shares being sold by promoter Hyundai Motor Company (HMC) through an Offer For Sale (OFS), without any new shares being issued. This is the automaker's first initial public offering in more than twenty years, following Japanese carmaker Maruti Suzuki's stock market debut in 2003. The South Korean parent is reducing its ownership by selling some stake through the OFS method. As the public offering is solely an OFS, Hyundai Motor India Ltd, the second biggest automaker in India following Maruti Suzuki, will not benefit from any earnings from the IPO.
Hyundai expects its IPO will enhance market liquidity
HMIL mentioned that it anticipates that listing the equity shares will boost visibility and brand image, as well as offer liquidity and a public market for the shares. The IPO is set at Rs 27,870 crore (USD 3.3 billion) at the top of the price range, with the company valued at around Rs 1.6 lakh crore (about USD 19 billion) after the issue. HMIL started operating in India in 1996 and now offers 13 different models in various segments.
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