The Securities and Exchange Board of India (Sebi) has given the green light to Hyundai Motor India’s ₹25,000-crore initial public offering (IPO), which is expected to be the largest in the country’s history. The second-largest car manufacturer in India submitted its draft prospectus to Sebi in June. This IPO will involve an offer-for-sale of up to 142.2 million shares, amounting to a 17.5% stake, from its parent company, Hyundai Motor Co. The IPO is likely to launch in November.
Hyundai is valued at around $18 billion, or ₹1.45 lakh crore. In comparison, Maruti Suzuki, the largest passenger car company in India, is valued at ₹4 lakh crore. Other automakers like Mahindra & Mahindra and Tata Motors are valued at ₹3.84 lakh crore and ₹3.55 lakh crore, respectively.
In 2023, India represented 13% of Hyundai Motor’s global sales and contributed 6% to the company’s overall revenue and profit. Hyundai held a 14.5% market share in the passenger car segment for FY24, while Maruti Suzuki led with 41.7% and Tata Motors had 13.8%.
Hyundai’s IPO is set to break records, surpassing the previous largest IPO in India, which was the ₹21,008-crore issue by Life Insurance Corp of India in May 2022. Other notable IPOs include Paytm’s parent company raising ₹18,300 crore and Vodafone Idea’s ₹18,000 crore earlier this year.
Additionally, Sebi recently approved the IPO of Swiggy, a food and grocery delivery platform, which is expected to be valued between $1.25 billion and $1.4 billion. Swiggy had submitted its draft papers for the IPO in April.
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