Hyundai IPO Off to a Slow Start: Just 18% Subscribed on Day 1; Retail Investors Lead with 26% Booking! Check Subscription Status and GMP Now!

Hyundai Motor India’s initial public offering (IPO) opened for subscription on October 15, but it has only been 18% subscribed on the first day. This means investors have bid for 1.77 crore shares out of the 9.98 crore shares available.

Retail investors are leading the way, having subscribed to 26% of the total offering. Non-institutional investors (NIIs) have booked 13%, while qualified institutional buyers (QIBs) have only managed to bid for 5% of the shares set aside for them, which is about 1.39 lakh bids.

The IPO is structured so that 50% of the shares are for QIBs, 15% for NIIs, and 35% for retail investors. There’s also a segment for employees, with up to 7,78,400 shares reserved, and they will receive a discount of ₹186 per share.

As for the Hyundai IPO’s grey market premium (GMP), shares are currently trading at a premium of ₹58. This suggests that the estimated listing price could be around ₹2,018, which is 2.96% higher than the IPO price of ₹1,960.

The Hyundai IPO will remain open for bids from Tuesday to Thursday this week, aiming to raise ₹27,870.16 crore through the sale of 14.2 crore shares, which will be sold by Hyundai Motor Global, the parent company. Since this IPO is entirely an offer for sale (OFS), all the money raised will go to the selling shareholder.

Even though the funds go to the parent company, they plan to use the money for research and development, as well as for introducing new innovative products.

Investors can apply for shares in lots, with each lot containing seven shares. The lead managers for this IPO include Kotak Mahindra Capital Company, Citigroup Global Markets, HSBC Securities, J.P. Morgan, and Morgan Stanley. KFin Technologies is the official registrar for this public offering.