The much-anticipated Hyundai Motor IPO is set to open for subscription on October 15, 2024 and close on October 17, 2024. With an issue size of a massive ₹27,870.16 crore, it has garnered substantial attention from both retail and institutional investors. Hyundai Motor is one of the world’s largest automotive manufacturers, and this IPO marks a significant milestone in the history of stock in India, highlighting the growth of the Indian stock market.
Let’s analyse in-depth the Hyundai IPO and how HDFC Sky’s ‘One-Click IPO’ tool makes investing easy.
Key Details of the Hyundai Motor IPO
The Hyundai Motor IPO is a Book Built Issue of 142.19 million shares, offered exclusively through an Offer for Sale (OFS). No new shares will be issued, and the proceeds will go to the selling shareholder. The IPO includes a reservation of 778,400 shares for employees at a discounted price of ₹186 per share.
Here’s a breakdown of the most important details:
| Hyundai Motor IPO Details | Numbers |
| Issue Type | Book Built Issue IPO |
| Total Issue Size | ₹27,870.16 Cr (142.19 million shares) |
| Offer for Sale | 142.19 million shares |
| Price Band | ₹1865 to ₹1960 per share |
| Lot Size | 7 shares per lot |
| Minimum Investment (Retail) | ₹13,720 (1 lot = 7 shares) |
| Maximum Investment (Retail) | ₹192,080 (14 lots = 98 shares) |
| Issue Opens | October 15, 2024 |
| Issue Closes | October 17, 2024 |
| Tentative Listing Date | October 22, 2024 |
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Investors who are interested in this historic opportunity can easily participate by open free demat account through various platforms to simplify the process of investing.
Hyundai Motor’s Financial Performance
Investors evaluating the IPO should consider Hyundai Motor’s recent financial performance. The company’s revenue increased by 16%, and its Profit After Tax (PAT) surged by 29% between March 2023 and March 2024. This strong financial performance enhances the IPO’s appeal to investors seeking long-term growth opportunities.
Financial Summary of Hyundai Motor India Limited
| Particulars | FY 2023 (₹ Crore) | FY 2024 (₹ Crore) |
| Revenue | 61,436.64 | 71,302.33 |
| Profit After Tax (PAT) | 4,709.25 | 6,060.04 |
| Total Assets | 34,573.34 | 26,349.25 |
Key Considerations for Investors
Investors planning to participate in the Hyundai Motor IPO should be aware of the following points:
- Pricing: The price band for the IPO is set at ₹1865 to ₹1960 per share. With a minimum application size of 7 shares, retail investors need at least ₹13,720 to bid for one lot.
- Reservation: The IPO offers up to 50% of the shares to Qualified Institutional Buyers (QIBs), 15% to Non-Institutional Investors (NII), and 35% to Retail Investors. This allocation ensures a balanced distribution of shares across investor categories.
How to Participate in the Hyundai Motor IPO?
Interested investors can participate in the Hyundai Motor IPO by a stock market app. This makes the process convenient and accessible, especially for those who prefer managing their investments on the go.
- Open a Free Demat Account: Investors need a demat account to apply for the IPO. Many brokers and platforms offer free demat account openings. Once the account is set up, investors can place their bids directly from the platform.
- Use a Mobile Stock Trading App: Many investors prefer using a mobile stock trading app to participate in IPOs. These apps make the process seamless, allowing users to apply, track, and manage their investments efficiently.
- Place Your Bid: Based on the minimum lot size of 7 shares, investors can place bids ranging from ₹13,720 for a single lot to ₹192,080 for 14 lots. Retail investors must ensure their bids are placed within the price band of ₹1865 to ₹1960 per share.
Why Should You Consider the Hyundai Motor IPO?
The Hyundai Motor IPO offers several compelling advantages for investors. Hyundai Motor’s strong market presence in India and globally, backed by a diverse product portfolio including SUVs, sedans, and electric vehicles, is a key attraction. As of March 2024, Hyundai has sold nearly 12 million passenger vehicles in India, demonstrating its solid market position.
Hyundai’s focus on innovation, technology, and sustainability aligns with the evolving automotive landscape, particularly the growing demand for electric vehicles (EVs). The company’s extensive dealer and service network, with over 1,366 sales points and 1,550 service points across India, further enhances its market strength.
Hyundai’s strong financial health is another significant factor. With rising revenue and profit, investors can anticipate long-term returns. The company’s Return on Capital Employed (ROCE) of 13.69% and Return on Net Worth (RoNW) of 12.26% are positive indicators for long-term investors.
How to apply for Hyundai IPO Using HDFC Sky’s One-Click-IPO
With HDFC Sky’s One-Click IPO feature, applying for IPOs has never been easier. Follow these steps to apply for the Hyundai IPO:
- Login to HDFC Sky: Access your account using your credentials.
- Navigate to IPO section: Go to “Indian Stocks” under your profile, then click on “IPO.”
- Select Hyundai IPO: Find Hyundai in the IPO list and click “Apply Now.”
- Enter your bid: Customise your bid and application details.
- Proceed to payment: Pay using UPI.
- Approve mandate: Approve the payment through your UPI app.
- Confirm and submit: Finalise the process by placing your order.
Key features of HDFC Sky’s One-Click IPO:
- Effortless application: Apply with just a click, avoiding lengthy paperwork.
- Real-time tracking: Get instant updates on your application and allotment.
- All-in-one platform: Manage all IPO applications easily.
- Anywhere access: Apply using the mobile app or portal from anywhere.
Hyundai’s IPO offers a blend of growth potential and stability. The One-Click IPO feature from HDFC Sky makes this opportunity easier to access, streamlining the process for investors.