Hyundai Motor India Prepares for India's Largest IPO

Hyundai Motor India Ltd plans to launch a significant Rs 25,000-crore initial public offering on October 14. The IPO comprises an Offer-for-Sale of 142,194,700 shares by Hyundai Motor Company, marking the largest share sale in India since LIC. The IPO aims to improve visibility, brand image, and liquidity.

Hyundai Motor India Ltd is on the verge of launching a groundbreaking Rs 25,000-crore initial public offering (IPO) slated for October 14, insiders disclosed on Thursday. This IPO is set to be India's largest since LIC's Rs 21,000-crore offering.

The Draft Red Herring Prospectus (DRHP) filed in June revealed that the IPO would solely be an Offer-for-Sale (OFS) of 142,194,700 equity shares by the promoter Hyundai Motor Company, with no component for fresh issue. Sources previously mentioned Hyundai's goal to raise at least USD 3 billion via this share sale.

Marking a pivotal moment for the Indian automotive sector, this is the first initial share sale by an automaker in over two decades, following Maruti Suzuki's 2003 listing. Hyundai Motor India, the nation's second-largest car manufacturer, won't receive proceeds from the IPO, as it purely involves stake dilution by its South Korean parent company.

(With inputs from agencies.)