Hyundai India IPO: After 28 years, Hyundai Motor India is planning to reenter the Indian stock market by launching its initial public offering (IPO) around Diwali this year.

Hyundai Motors

Hyundai India IPO: The Economic Times reported that Hyundai Motor India (HMIL), the Indian division of South Korean-based Hyundai Motor Co., is considering launching its initial public offering (IPO) on Indian exchanges around Diwali in November of this year.

After being founded on May 6, 1996, Hyundai Motor India is anticipated to list on the Indian stock market about 28 years after its founding. After Maruti Suzuki India, HMIL was the second-biggest seller of passenger cars in India during the previous year.

Global investment banks of distinction are fighting for a possible Hyundai India IPO. Last week in Seoul, Hyundai leadership was presented with offers of expertise by representatives from Goldman Sachs, Citi, Morgan Stanley, JP Morgan, Bank of America, HSBC, Deutsche Bank, and UBS. Bankers estimated that the company’s market worth may range from ₹1.82-2.32 lakh crore, or $22-28 billion. The ET story went on to say that Hyundai is purportedly looking into a dilution of between 15% and 20% in order to raise $3.3-5.6 billion (₹27,390 crore to ₹46,480 crore).

According to a previous report by Mint, Hyundai Motor India anticipates that in 2024, sport utility vehicles (SUVs) will account for 65 percent of its sales. In this market, buyers favor diesel engines for their higher fuel efficiency and power in larger SUV segments, while gasoline and CNG offer better fuel economy in smaller vehicles.

At its height, diesel made up 60% of our sales, with gasoline accounting for 40%. However, the trend has since reversed, with diesel now making up 40% of our sales, which is positive and in keeping with the direction of the industry. According to Tarun Garg, COO of Hyundai Motor India, who was previously reported by Mint in January 2024, “this year, it seems that 38–40% will be diesel, but because of our new turbo petrol engine, some diesel volumes may shift to that and diesel may account for 30–35% of our sales.”

In the meantime, the business and Uday Samant, the minister of industries for Maharashtra, signed a Memorandum of Understanding (MoU) in Davos. In January 2024, Hyundai Motor India Ltd. pledged to invest ₹6,000 crore in Maharashtra.