NEW DELHI: A senior official of Hyundai Motor India Ltd (HMIL) said that the automaker is looking to indianise its operations with its upcoming Rs 27, 870 crore, he country’s largest initial public offering (IPO) to date.
“We have been in India now for more than 26 years. We have a very high market share. We are at number two position in India in the passenger vehicle space.We have got so much love and affection from the people of India. So we believe this is the right time to take one step forward and even further Indianise our operations. The whole aim is to really become the most trusted brand of India,” Hyundai Motor India Ltd (HMIL) COO Tarun Garg told news agency PTI.
The IPO is set to open for public subscription from October 15 to 17 with anchor investors bidding on October 14.
When asked why the auto major is going public in India and not in other countries, he said that India has emerged as a very good destination for all the major players and company’s growth is set to accelerate in India.
“If you see India as a country, it is really doing very well. The GDP is very good, much higher than the global GDP growth rates. The Pune plant (acquired from General Motors) is also coming (up). We believe that this is the right time to invite and give the opportunity to all the local investors, as well as the global investors, to become a part of this growth story…this is something very important, and it will really make us more inclusive,” Garg said.
“We are number two player in India (in passenger vehicles), outside of (South) Korea…and we have a double-digit market share. These two are very significant points and that Hyundai in India has done really well, that gives the confidence. The brand Hyundai has really been accepted very well in India. We have been able to appeal to the Indian people generally. This is probably the right country to really go for the IPO,” he added.
HMIL has set a price band of Rs 1,865 to Rs 1,960 per share, valuing the automaker at approximately Rs 1.6 lakh crore (about USD 19 billion). At the upper end of the price band, the IPO size is expected to surpass the previous record set by Life Insurance Corporation of India (LIC) in May 2022, which raised Rs 21,000 crore.