Hyundai Motor to Pursue IPO in India... Plans to Raise 4 Trillion Won

Hyundai Motor India Limited (HMIL) is reportedly in negotiations to conduct an initial public offering (IPO) in India by the end of this year, according to major foreign media on the 5th (local time).

According to The Economic Times (ET), several investment banks visited Seoul last week to finalize Hyundai Motor's plan to list in India, and these banks have valued the company at $22 billion to $28 billion (approximately 33 trillion to 40 trillion KRW).

Hyundai is said to plan to raise at least $3 billion (about 4 trillion KRW) by listing a portion of its shares, and if this IPO is successful, it will be the largest in the history of the Indian stock market.

Hyundai Motor India's first production model 'Santro'
[Photo by Yonhap News]

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Established in 1996, Hyundai Motor India Limited officially entered the Indian automobile market by producing its first model, the Santro, at its Chennai plant in Tamil Nadu in 1998.

Currently, Hyundai operates its 1st and 2nd plants in Chennai, and Kia has a plant in Anantapur in central India. Last year, Hyundai expanded its production line by acquiring the General Motors (GM) plant in the Talegaon area.

Over the past 25 years, Hyundai and Kia have sold approximately 9 million vehicles in India, and as of the first half of last year, the combined market share of the two companies in India was 21.3%.

Meanwhile, Hyundai has set a sales growth target of 4-5% for 2024. This year, it plans to invest a total of 12.4 trillion KRW, including 5.6 trillion KRW in facility investment and 4.9 trillion KRW in research and development (R&D).

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