30.9 C
New Delhi
HomeIPO Analysis & PredictionsHyundai IPO: GMP Today, Lot Size, Key Dates, and Latest Updates

Hyundai IPO: GMP Today, Lot Size, Key Dates, and Latest Updates

Introduction to Hyundai IPO

Incorporated in May 1996, Hyundai Motor India Limited (HMIL) has established itself as a significant player in the Indian automotive market. As a subsidiary of the Hyundai Motor Group, HMIL is set to make headlines with its upcoming Initial Public Offering (IPO), which is poised to raise a staggering ₹27,870.16 crore through an offer-for-sale of over 14.22 crore shares. The IPO is scheduled to open on October 15, 2024, and will close on October 17, 2024, marking a pivotal moment for the company and its investors.

Key Details of the Hyundai IPO

The Hyundai IPO will be listed on both the National Stock Exchange (NSE) and the Bombay Stock Exchange (BSE). The allotment of shares is expected to take place on October 18, 2024, with the shares credited to the demat accounts of successful bidders by October 21, 2024. The price band for the shares is set between ₹1,865 and ₹1,960, with a minimum lot size of 7 shares, requiring a minimum investment of ₹13,720 for retail investors. Small Non-Institutional Investors (NIIs) will need to invest a minimum of ₹205,800 for 105 shares, while large NIIs will need to invest at least ₹1,001,560 for 511 shares.

In a move to incentivize employees, the company has reserved up to 778,400 shares for them, offered at a discount of ₹186 to the issue price. Kfin Technologies Ltd will serve as the registrar for the issue, while a consortium of leading financial institutions, including Kotak Mahindra Capital Company Ltd, Citigroup Global Markets India Private Limited, and J.P. Morgan India Private Limited, will act as the book-running lead managers.

Hyundai Motor India Ltd IPO GMP

As of October 14, 2024, the Grey Market Premium (GMP) for the Hyundai IPO stands at ₹35, indicating a positive sentiment among investors. The estimated listing price is projected to be around ₹2,025, reflecting a potential gain of approximately 3.5% per share. The GMP has fluctuated over the past weeks, with estimates ranging from a low of ₹0 to a high of ₹570, showcasing the dynamic nature of investor interest.

Financial Overview of Hyundai Motor India Ltd

Hyundai Motor India Ltd has demonstrated robust financial performance in recent years. For the fiscal year ending March 31, 2024, the company reported total assets of ₹26,349.25 crore and a revenue of ₹71,302.33 crore, with a profit after tax of ₹6,060.04 crore. This marks a significant increase from the previous year, where the revenue was ₹61,436.64 crore, and the profit after tax was ₹4,709.25 crore. The company’s net worth stands at ₹10,665.66 crore, reflecting its strong financial position.

Objectives of the Hyundai Motor India Ltd IPO

It is important to note that Hyundai Motor India Ltd will not receive any proceeds from the IPO, as the entire offering is an offer-for-sale by the existing shareholders. The funds raised will primarily benefit the promoter selling shareholders, which may impact the overall perception of the IPO among potential investors.

Risks Associated with the IPO

While the Hyundai IPO presents an exciting investment opportunity, it is not without risks. Rising material costs could significantly impact profit margins, while dependence on a limited number of suppliers poses risks of supply chain disruptions. Additionally, the company’s relationship with Hyundai Motor Company (HMC) is crucial for its continued operations, and any legal proceedings could lead to financial or reputational harm. Furthermore, competition from other automotive manufacturers, particularly Kia, may create market challenges.

Conclusion

The Hyundai Motor India Ltd IPO is set to be one of the most anticipated offerings in the Indian stock market. With its strong financial performance, extensive market presence, and a well-established brand, the company is well-positioned for growth. However, potential investors should carefully consider the associated risks and conduct thorough research before making investment decisions. As the IPO date approaches, the market will be watching closely to see how this offering unfolds and what it means for the future of Hyundai Motor India Ltd.

FAQs about Hyundai Motor India Ltd IPO

What is the price band for Hyundai Motor India’s IPO?
The price band is set between ₹1,865 and ₹1,960 per share.

What is the retail investor quota for Hyundai Motor India’s IPO?
Retail investors will receive at least 35% of the shares.

Where can I track Hyundai Motor India’s stock performance?
You can track it on various financial platforms, including Unicorn Signals, 2-3 days after listing.

How do I subscribe to Hyundai Motor India’s IPO?
You can subscribe via your demat account or through your bank/financial institution during the IPO period.

What is the closing time for Hyundai Motor India’s IPO subscription?
The deadline is 5 PM on October 17, 2024, but most brokers may stop accepting applications by 1-3 PM.

Where can I find detailed information on the Hyundai Motor India Ltd IPO?
Detailed information can be found in the Draft Red Herring Prospectus and the Red Herring Prospectus filed with SEBI by the company.

Disclaimer

This information is for educational purposes only and should not be considered investment advice. All investments carry market risks. Please read all relevant documents carefully before making any investment decisions.

RELATED ARTICLES

LEAVE A REPLY

Please enter your comment!
Please enter your name here

Most Popular