The report said that the bankers have valued HMIL at $22-28 billion, and the automaker is likely to dilute 15-20 per cent to raise $3.3-5.6 billion (Rs 27,390 to Rs 46,480 crore). This would make it a larger IPO than LIC, which had an issue size of Rs 21,000 crore.
Global investment banks like Goldman Sachs, Morgan Stanley, JP Morgan and HSBC were in Seoul last week to make IPO pitches to Hyundai, the ET report added.
HMIL was launched in India in 1996. Last year, it was the second-largest passenger vehicle seller here after Maruti Suzuki. Currently, Maruti Suzuki has a valuation of Rs 33.4 trillion. Another Indian giant, Tata Motors, is valued at Rs 29.3 trillion.
At the upper band, the valuation of Hyundai India would be around Rs 23.3 trillion. It would make the company more valuable than Mahindra & Mahindra and Bajaj Auto.
One person aware of the matter was quoted in the report as saying that the momentum for this is expected to pick up after the elections are over.
Last month, HMIL announced that it had acquired General Motors India’s Talegaon plant in Maharashtra and will invest Rs 6,000 crore in the state. The plant, which has an annual production capacity of 130,000 units, is scheduled to resume manufacturing in 2025.
Its cars in India include Creta, Verna, i20, i10 and Elantra, among others.
First Published: Feb 05 2024 | 9:43 AM IST
