The Hyundai Motor India IPO, which took place from October 15 to October 17, 2024, has marked a significant event in the Indian financial landscape by being fully subscribed. This IPO aims to raise approximately ₹27,856 crore, positioning it as one of the largest public offerings in India to date.
Subscription Insights
The subscription data reveals a robust interest from institutional investors, particularly qualified institutional buyers (QIBs). The IPO was subscribed 6.23 times by these investors, indicating strong institutional confidence in Hyundai’s market position and future prospects. In contrast, retail and non-institutional investor participation was notably lower, reflecting a more cautious sentiment among individual investors.
Pricing Details and Market Expectations
The price band for Hyundai’s IPO was set at ₹1,960 per share. As of October 17, 2024, the grey market premium (GMP) for the IPO stood at ₹14. Based on this premium, the expected listing price for the shares is projected to be around ₹1,974 per share, which offers a modest 0.71% premium over the issue price. This indicates a cautious but optimistic outlook among traders in the grey market.
Key Dates to Remember
- Tentative Listing Date: Hyundai shares are expected to debut on the BSE and NSE on October 22, 2024.
- Allotment Status: Investors looking to check their allotment status can do so through KFin Technologies or the BSE website.
Analyst Perspectives
The IPO has drawn varied opinions from market analysts. Some are bullish on Hyundai’s long-term prospects, pointing to the company’s strong market position, consistent growth trajectory, and strategic moves toward expanding its electric vehicle (EV) offerings. Analysts suggest that these factors could make the IPO a worthwhile investment for those looking to capitalize on the growing automotive market in India, particularly in the EV segment.
Hyundai Motor India’s IPO represents a significant opportunity for both institutional and retail investors, despite the latter’s cautious approach. With the automotive industry in India poised for substantial growth, especially in the EV sector, Hyundai’s strategic positioning could yield long-term benefits for investors. As the tentative listing date approaches, market participants will be keenly watching how the shares perform post-listing.
Hyundai Motor India IPO: Frequently Asked Questions
1. When is the Hyundai Motor India IPO listing date?
The Hyundai Motor India IPO is expected to list on October 22, 2024.
2. What is the price band for Hyundai Motor India’s IPO?
The price band for the Hyundai IPO is set at ₹1,960 per share.
3. What is the grey market premium (GMP) for the Hyundai IPO?
As of the latest update, the GMP for the Hyundai IPO is ₹14, indicating a slight premium over the issue price.
4. How can I check my Hyundai IPO allotment status?
You can check the allotment status on the KFin Technologies website or the BSE website.
5. Is the Hyundai IPO fully subscribed?
Yes, the Hyundai Motor India IPO was fully subscribed by October 17, 2024.
6. What are the subscription numbers for different investor categories in Hyundai’s IPO?
The IPO was subscribed 6.23 times by qualified institutional buyers (QIBs), 0.45 times by retail investors, and 0.43 times by non-institutional investors (NIIs).
7. What is the expected listing price of the Hyundai IPO?
Based on the GMP, the expected listing price is around ₹1,974 per share.
8. Should I subscribe to Hyundai Motor India’s IPO for short-term gains?
Some brokerages suggest this IPO is more suitable for long-term investors rather than for short-term gains.
9. What is the expected market movement for Hyundai shares after listing?
The expected movement will depend on market demand, but a slight premium is anticipated based on the grey market premium.
10. Where will Hyundai Motor India’s IPO be listed?
The IPO will be listed on both the National Stock Exchange (NSE) and the Bombay Stock Exchange (BSE).
11. How much did Hyundai Motor India raise through its IPO?
Hyundai Motor India aims to raise approximately ₹27,856 crore through its IPO.
12. Can I trade Hyundai Motor India shares on the listing day?
Yes, once listed, shares can be traded on both the NSE and BSE.
13. What is the objective of Hyundai’s IPO?
The primary objective is to fund the company’s future growth, including expanding capacity and product offerings.
14. How does Hyundai Motor India’s performance impact the IPO?
Hyundai’s strong market position, consistent growth, and expansion into electric vehicles have boosted investor confidence in the IPO.
15. What factors influenced the GMP for Hyundai IPO?
Market sentiment, institutional investor demand, and overall economic conditions typically influence the GMP.
16. What is Hyundai’s long-term growth strategy?
Hyundai plans to focus on premiumisation and expanding its product lineup, particularly in electric vehicles.
17. Can I buy Hyundai shares after the listing date?
Yes, you can purchase Hyundai shares in the secondary market after they are listed on the exchanges.
18. What are the major risks associated with the Hyundai IPO?
Risks include short-term market volatility, competition in the automotive sector, and potential changes in regulatory policies.
19. How does Hyundai compare to other recent IPOs?
Hyundai’s IPO size and grey market premium are relatively moderate compared to some recent high-demand public issues.
20. Is Hyundai paying dividends regularly?
Yes, Hyundai has a history of paying regular dividends, which is attractive to long-term investors.
21. How can I apply for future IPOs like Hyundai’s?
You can apply for IPOs through your broker’s platform or directly using your Demat account via ASBA (Application Supported by Blocked Amount).
22. What was the subscription timeline for Hyundai Motor India’s IPO?
The IPO opened on October 15, 2024, and closed on October 17, 2024.
23. What was the minimum investment amount for Hyundai’s IPO?
The minimum investment amount is calculated based on the price band (₹1,960 per share) and the minimum lot size provided by the company.
24. What is Hyundai’s market position in India?
Hyundai is one of the leading car manufacturers in India, known for a strong lineup of vehicles and upcoming plans for electric mobility
