HYUNDAI Motor is planning to file for an initial public offering (IPO) for its India unit as soon as this month, according to sources familiar with the matter, with a potential listing planned by the end of the year.
The automaker is seeking to raise about US$2.5 billion in an IPO, the sources said, which would make it one of the biggest on record in India, following Life Insurance Corporation of India’s 206 billion rupee (S$3.3 billion) offering in 2022.
Hyundai is potentially seeking a valuation of as much as US$25 billion, the sources said, asking not to be identified discussing private information.
A Hyundai representative did not respond to a request for comment.
The Economic Times reported earlier on Tuesday (Jun 11) that Hyundai’s India unit is likely to file a draft prospectus with the market regulator over the next two weeks.
Hyundai’s advisers for the first-time share sale include Citigroup, HSBC Holdings, JPMorgan Chase, Kotak Mahindra Bank and Morgan Stanley, Bloomberg News has reported previously.
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While no final decisions on details such as size and timing have been made, if Hyundai goes ahead with an IPO it will use the proceeds to expand operations. Hyundai Motor India is India’s second-biggest carmaker by sales. BLOOMBERG
