Mumbai: Hyundai Motor India is likely to launch a $3 billion (about Rs 25,000 crore) Initial Public Offering (IPO), according to a report.
It would be the largest IPO of India after LIC, which was around Rs 21,000 crore.
According to several media reports, Hyundai has given final consent for opening the IPO subscription from October 14 to 16.
The report further said that barring any unexpected changes in the market due to the conflict between Iran and Israel in the Middle East, it has been agreed to open the subscription of the IPO on these dates. However, no decision has been made yet regarding the price band.
In Thursday’s session, the Indian stock market saw a sharp fall due to Iran’s missile attack on Israel. During this period, both the frontline indices Sensex and Nifty had closed down by more than 2 per cent. This was the biggest fall in the stock market so far in the last two months.
Till now, no official statement has been given by Hyundai regarding the IPO dates.
The country’s largest IPO has been approved by the Securities Exchange Board of India (SEBI).
The entire IPO of Hyundai Motor India Limited will be an offer for sale (OFS). In an IPO, the company will sell 14.2 crore shares, which is around 17.5 per cent of the total shareholding.
Hyundai India is the second largest car company in the country after Maruti Suzuki. The company’s market share is around 15 per cent. After the listing, Hyundai India’s market cap could be almost half the valuation of its Seoul-listed promoter company Hyundai Motors at $47 billion.
Nearly one in four Hyundai cars is sold in India now. The company has been consistently clocking 60,000 units per month for some time now, except the last few months as the entire industry is in a bit of a funk.
–IANS