Bengaluru, India – Hyundai India Share Price (HMIL), the country’s second-largest carmaker, is poised to launch its landmark Initial Public Offering (IPO), an event that has the Indian stock market buzzing with anticipation. While investors cannot yet buy Hyundai India shares, the company has filed its Draft Red Herring Prospectus (DRHP) with the Securities and Exchange Board of India (SEBI), signaling that its market debut is imminent.
This IPO is set to be one of the largest in India’s history, with the South Korean parent company, Hyundai Motor Company, looking to sell up to 142 million equity shares, representing a 17.5% stake in its Indian subsidiary.
IPO Details and Valuation | Hyundai India Share Price
While the official price band for the shares is yet to be announced, the IPO is expected to be a pure Offer for Sale (OFS), meaning the parent company will sell its existing shares and the Indian entity will not receive any of the proceeds.
- Issue Size: Expected to be between $2.5 to $3 billion.
- Expected Valuation: The IPO is likely to value Hyundai’s Indian operations at approximately $15 to $20 billion.
- Listing on: The shares will be listed on both the BSE (Bombay Stock Exchange) and the NSE (National Stock Exchange).
- Expected IPO Date: While not confirmed, the market debut is anticipated to happen around the festive season of Diwali in November 2025, pending regulatory approvals.
Company Performance and Market Position | Hyundai India Share Price
Hyundai has been a dominant force in the Indian automotive market for over two decades. Its strong brand recognition, extensive sales network, and diverse product portfolio make it a compelling investment case.
- Market Share: HMIL holds a commanding 15% market share in the Indian passenger vehicle market, second only to Maruti Suzuki.
- Product Strength: The company boasts a popular lineup, including the Creta, which dominates the mid-size SUV segment, the Venue, the i20, and the Grand i10 Nios.
- Financial Health: For the fiscal year 2024, Hyundai India reported a net profit of ₹4,653 crore on revenues of ₹60,000 crore, showcasing robust financial health and profitability.
- Export Hub: The company is India’s largest exporter of passenger cars, utilizing its manufacturing plants as a critical hub for global markets.
Why is Hyundai Launching an IPO Now? | Hyundai India Share Price
The decision for the parent company to dilute its stake in its highly profitable Indian arm is strategic. The IPO aims to:
- Unlock Value: Publicly listing the Indian entity will allow the market to assign a valuation to the subsidiary, unlocking significant value for the parent company.
- Increase Brand Visibility: An Indian listing enhances the brand’s profile and roots it more deeply within the local market.
- Future Capital: While this is an OFS, a public listing provides a platform for raising capital for future expansion, particularly for its electric vehicle (EV) ambitions, if needed.
What Should Investors Look For? | Hyundai India Share Price
As the IPO approaches, potential investors should keep a close eye on:
- The Price Band: The valuation at which the shares are offered will be a critical factor in determining if it’s an attractive investment.
- Analyst Ratings: Financial analysts will release detailed reports and recommendations once the price band is announced.
- Future EV Plans: Details on how Hyundai plans to compete in India’s burgeoning EV market will be crucial for its long-term growth story.
For now, the wait continues. The Hyundai India IPO is not just about a single company’s listing; it’s a barometer of the health and potential of the Indian automotive market and is set to be a defining event for the Indian capital markets in 2025.
Also Read : Maruti Share Price Surges, Hits 52-Week High on Major GST Cut and Festive Season Optimism
Also Read : Article from Money Control on Hyundai India Share Price
