Hyundai Motor India’s stocks made their market debut on Tuesday with a 1.5% markdown. The shares opened at Rs 1,931 on the BSE, slightly lower than the initial price of Rs 1,960. Meanwhile, on the NSE, the stock started trading at Rs 1,934.
The initial public offering (IPO) worth Rs 27,870 crore was oversubscribed by 2.3 times, attaining complete subscription only on the final day. Given the fully priced valuations and the fact that the issue is solely an offer for sale (OFS), the company will not benefit from any funds raised through the offer.
Shivani Nyati, Head of Wealth at Swastika Investmart, expressed that although Hyundai Motor India is established as the second-largest passenger vehicle company in India and shows promise with its strategic emphasis on SUVs, potential listing gains could be restricted by prevailing market sentiment and IPO scale.
Hyundai Motor India, the second-largest car maker in India, commands a 15% market share. At pre-listing, the company’s stocks are being traded with a Grey Market Premium (GMP) that is slightly more than 3% above their initial price.
