Hyundai Motor is reportedly considering an initial public offering (IPO) for its Indian unit, aiming to raise at least $3 billion. While the IPO plan for Hyundai Motor India is still in the early stages and not finalized, it could potentially become India’s most substantial stock market offering, with a valuation ranging from $25 billion to $30 billion, according to sources familiar with the matter.
The company is said to be exploring options for “value unlocking for its India business” through the IPO, reflecting a strategic move to tap into the financial markets. If the IPO proceeds, it could mark a significant milestone for Hyundai in the Indian market.
Hyundai Motor India, the country’s second-largest carmaker by sales, has not officially commented on the IPO discussions. The company has previously outlined plans to invest $2.45 billion in India, focusing on its electrification initiatives. This includes the introduction of new electric vehicles (EVs), the development of charging stations, and the establishment of a battery pack assembly unit.
With a presence in India for over two decades, Hyundai has secured a 15% share of the Indian car market. It competes with major players like Maruti Suzuki and Tata Motors. The move towards an IPO aligns with Hyundai’s broader strategy to bolster its position in the rapidly evolving Indian automotive market.
As Hyundai continues to explore various opportunities and investments in India, an IPO could serve as a pivotal step in unlocking the potential value of its Indian operations and financing ambitious ventures in the country’s growing electric vehicle sector.