Newsbreak confirmed: Hyundai Motor files for IPO with SEBI, plans to sell 14.2 crore shares in India
Hyundai Motor sold 71,641 units in September 2023, its highest-ever monthly sales and 13.35 percent higher than last September's 63,201 units.
Hyundai Motor has filed a Draft Red Herring Prospectus (DRHP) with the Securities and Exchange Board of India (SEBI) for its proposed Initial Public Offering (IPO).
This move will see the automotive company selling 14.2 crore shares in India through an Offer for Sale (OFS).
According to Reuters, this could potentially be India’s largest IPO to date.
Hyundai Motor India, which stands as the country’s second-largest car manufacturer after Maruti Suzuki, will not be issuing new shares.
Instead, the IPO will involve Hyundai's parent company in South Korea reducing its stake in the wholly-owned Indian unit by offering shares to retail and other investors, as per Reuters.
This IPO marks a historic moment for the Indian automotive sector, as Hyundai Motor India will become the first car manufacturer to go public in nearly two decades, following Maruti Suzuki's IPO in 2003.
The DRHP filed by Hyundai Motor India outlines 81 risk factors.