Hyundai Motor IPO 2024: Key Details, Dates, and Investment Insights

Hyundai Motor IPO 2024 – All Important Highlights, Dates and Investment Ideas Hyundai has emerged to be one of the most eagerly awaited public offers of the year and for sure will chart atop in India. Here, through this offer, Hyundai Motor is seeking to fetch a whopping ₹ 27,870.16 crore through this issue and investors will get an excellent way of gaining from the growth of this global automobile giant. Hyundai Motor IPO is an all-Offer for Sale one. Here, 14.22 crore shares are being sold through this process, without fresh equity issuance. This blog is going to provide you with all of the required information about the Hyundai Motor IPO, including key dates, investment options, and update on GMP regarding the Hyundai Motor.

Hyundai Motor IPO Price and Lot Size

The price band for Hyundai Motor IPO would be between ₹1900 and ₹1960 per share. Accordingly, investment as a retail investor, small non-institutional investor or big non-institutional investor is needed by the quantity of shares that an individual can apply for:

Retail Investors: At least 7 shares per lot, amounting to ₹13,720.
NII (Small Non-Institutional Investors): At least 15 lots (105 shares), amounting to ₹205,800.
bNII: refers to at least 73 lots with 511 shares, ₹1,001,560.

Hyundai Motor IPO Grey Market Premium (GMP)

The Grey Market Premium, or GMP, is a pretty good indicator of how the market feels about the IPO before listing. As we approach the listing date, GMP for the Hyundai Motor IPO will attract more attention, but the great anticipation for the IPO indicates there should be great demand in the market.

GMP is highly essential for the investors as it would tell them if the stock arrives at a premium or flat. There are many financial websites which report the updates of Hyundai Motor IPO through which investors could measure the mood of the market.

Hyundai Motor IPO: Offer for Sale (OFS) Structure :

Because the Hyundai Motor IPO is a form of OFS, it involves absolutely no fresh equity shares issued by the company. Rather, it happens to be an exit route for existing shareholders wherein the sale proceeds do not go into the company’s kitty. Such an IPO issuance allows some exiting or partial cash out for existing shareholders if one desires to do so. The entry of retail and institutional investors is still not prohibited.

Hyundai Motor IPO advantages as an investment

Brand Recognition: Hyundai is one of the largest automobile companies and built solid recognition in the market for all divisions, including passenger cars, commercial vehicles, and EVs.

Diversified Product Portfolio: With the range of products from affordable models to premium cars and EVs, Hyundai would have a very wide base for its growth in the said market divisions.

The positive aspect of change on Hyundai is that the globe automobile market is shifting toward electric vehicles, and hence, it has been focusing much on EV technology. Therefore, this would make the IPO an attractive venture to long-term investors.
Hyundai has generated steady revenues with good margins of profit and importantly a sound cash position, hence making it a viable investment choice.

Risks to Consider

External Market Risks: International economic changes and any form of disturbance within the supply chain would help increase the competition from automobile manufacturers regarding EV. Hence, their prospects might get affected by such risks.

Market Volatility: In reality, this type of an IPO is highly vulnerable to post-listing performance, which has, as a whole been adversely impacted by market volatility. Events or situations outside the company’s control such as geopolitical events and investor sentiments may harm listing prices.

Offer for Sale (OFS): Since the whole IPO is an OFS, the monies will go into the coffers of the selling shareholder and not into the bank account of the company. Hence Hyundai cannot employ this IPO directly to finance future growth.

How to Apply for Hyundai Motor IPO

Hyundai Motor IPO can be applied through various modes.

ASBA – Application Supported by Blocked Amount : In the ASBA process, the applicants can apply for the IPO while the application amount is blocked in their bank accounts till shares are allotted. Most of the Indian banks offer this facility.
Online Application Screen: Most brokerage houses permit clients to place an online application for an IPO. The clients can login into their broker’s web-based account through their Demat account.
Completed Forms from Banks’ Outlets: For those that don’t mind going the extra mile they can source for forms from designated bank outlets and submit them in person.

Hyundai Motor Performance

Hyundai Motor is an international brand which has shown constant sequences of growth in its finances. Other key financials that the company reports include:
Revenue Growth: Hyundai had experienced healthy revenue growth through the years and is further augmented with the growth in automobile sales and its share of electric car technology.

Profit Margins: The premium tiers in the sale of automobile and electric vehicles of the company speak well within its healthy profit margins.
Debt Levels: Hyundai Motor shows an acceptable debt-to-equity ratio, which stands for the robust health and effective capital management.

These make Hyundai Motor a very stable investment opportunity, mainly to those who are willing to be long-term investors with a need to tap into the potential of automobiles in the future.

Expected Listing and Post-Listing Performance

Also, it provides a provisional listing date for Hyundai Motor on 22 October 2024. From the GMP and market sentiment, this stock would gain heavy demand, and is expected to list at a premium. On the other hand, do not forget more general market conditions including the competition Hyundai has had in recent years due to electric vehicles.

Conclusion

Is Hyundai Motor IPO Worth the Investment?
The Hyundai Motor IPO is perhaps one of the investment opportunities best suited for funding the already established company within the global automobile industry. The strength of its financial performance, brand recognition, and also entry into the EV markets make this an especially attractive IPO for long-term investors. But as the mantra goes, such investments are accompanied with several risks along with being based on market conditions.

Actually, the IPO is opened to the retail investors for a minimum sum of ₹13,720, and the sums may need much higher amounts to the institutional investors. Hyundai Motor IPO going to be one of the topmost IPOs in 2024, and thus, monitoring the GMP, subscription data, and the listing price will help the investors take the right call.

Disclaimer:

All above recommendations are of the market analysts. Neither the author, nor the brokerage firm, nor Stockstoday.in will be responsible for any loss arising out of any such decision taken based upon this information. All users are cautioned to take their own expert advice prior to making any investment decision.