Hyundai IPO, India's largest ever, opens for subscription

Hyundai Motor India Limited (Hyundai) has roared into the Indian capital market with its mega Initial Public Offering (IPO) on October 15, which is the largest ever in the country to date. With ₹27,870 crore, the Hyundai IPO surpasses the LIC's initial share sale of ₹21,000 crore. Also, Hyundai Motor India's IPO is the second largest in the world in 2024. The public subscription to Hyundai IPO is open from October 15 and will conclude on October 17, with a price band of ₹1,865 - ₹1,960 per share.

Hyundai Motor India's IPO is entirely an offer-for-sale (OFS) of 14,21,94,700 equity shares by the promoter Hyundai Motor Company (HMC), with no fresh issue component. This comes as the first IPO from any major automobile manufacturer in India in more than two decades, following India's biggest carmaker Maruti Suzuki's listing in the market in 2003.

Hyundai raised ₹8,315 crore from anchor investors ahead of mega-IPO

Hyundai on Monday raised ₹8,315 crore from anchor investors, just a day before its much-awaited initial share-sale opening for public subscription. Some of HMIL's anchor investors are New World Fund Inc, Government of Singapore, Fidelity Funds, BlackRock Global Funds, JP Morgan Funds, HDFC Life Insurance Company and SBI Life Insurance Company.

BSE has stated in a circular that HMIL has allotted 4.24 crore shares to 225 funds at ₹1,960 apiece, which is also the upper end of the price band. This translates to a transaction volume of ₹8,315.27 crore.

Out of the total allocation of 4.24 crore equity shares to the anchor investors, HMIL allocated 1.46 crore equity shares to 21 domestic mutual funds through 83 schemes, amounting to 34.42 per cent of the total shares. Some of the major mutual funds that participated in the anchor round include ICICI Prudential Mutual Fund (MF), HDFC MF, SBI MF, Nippon India MF, Kotak MF, Axis MF, Aditya Birla Sun Life MF, UTI MF and Bandhan MF.

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