Hyundai IPO Allotment Status: How to Check, Listing Date, and Market Outlook

Hyundai Motor India, a subsidiary of Hyundai Motor Company and one of the leading automakers globally, recently closed its much-anticipated IPO. The allotment of shares is a key event for investors who participated in the offering, which ran from October 15 to 17, 2024. The allotment status will be announced today, October 18, 2024, providing clarity on who has secured shares in this major public offering.

Overview of the Hyundai Motor India IPO

Hyundai Motor India’s IPO is one of the largest in the Indian market this year, valued at ₹27,870.16 crore ($3.35 billion). The IPO was fully subscribed, with a subscription rate of 2.37 times. This was driven by significant demand from Qualified Institutional Buyers (QIBs), which subscribed 6.97 times their allotted quota, while retail investors showed more moderate interest, with a subscription of 0.50 times. Non-institutional investors (NIIs), such as high-net-worth individuals, also contributed, albeit at lower rates.

Allotment Details

Investors can check their allotment status starting today by visiting the official website of the IPO’s registrar, KFin Technologies, or through the Bombay Stock Exchange (BSE). To do so, they will need to enter details such as their PAN number, application number, or DP client ID. Once the allotment is finalized, those who have been allotted shares will receive them in their demat accounts by October 21, 2024, with refunds initiated on the same day for those who did not secure any shares.

The listing of Hyundai Motor India’s shares is expected on the BSE and NSE on October 22, 2024.

Grey Market Premium (GMP) and Expected Listing Price

The IPO has garnered attention in the grey market, although the Grey Market Premium (GMP) for Hyundai shares is subdued, indicating limited speculative premium. As of now, the GMP is less than 1%, which suggests that the market expects a modest listing price near the upper end of the IPO price band, which was set between ₹1,865 and ₹1,960 per share. This cautious sentiment reflects broader market conditions and recent volatility in the global automotive sector.

Investor Categories and Subscription Breakdown

The IPO was categorized into several investor segments:

QIBs: The largest group by subscription, driven by institutional investors like mutual funds and foreign institutional investors.
Retail Investors: This group bid for a minimum lot size of 7 shares, but the overall retail subscription was underwhelming at 0.50 times.
NIIs: Divided into those who bid below ₹10 lakh (small HNIs) and above ₹10 lakh (big HNIs), these investors showed limited participation.
Employees: Hyundai employees were also allocated a small portion, which was oversubscribed at 1.74 times.

How to Check Allotment Status

Here are the steps to check the Hyundai IPO allotment status:

KFin Technologies Website: Visit the IPO allotment page on the KFin website and select Hyundai Motor India from the dropdown menu. Enter your application number, PAN, or DP client ID to check your status.
BSE Website: Alternatively, you can check the allotment status on the BSE website by entering your application details.

Listing and Future Outlook

With a listing date of October 22, 2024, all eyes will be on how Hyundai Motor India performs in its stock market debut. Given the relatively low grey market premium, analysts suggest a cautious approach, particularly as global economic uncertainties continue to weigh on investor sentiment. Hyundai’s strong market presence in India, especially in the growing electric vehicle (EV) sector, may play a key role in long-term growth prospects.

The funds raised through this IPO, although primarily an Offer for Sale (OFS) by the parent company, signal Hyundai’s commitment to consolidating its position in the Indian automotive market, which is witnessing a steady shift towards EVs and other advanced mobility solutions.

Conclusion

For investors, today’s allotment status finalization marks a crucial step. Whether you have secured shares or not, it is essential to monitor the market’s response leading up to the listing. The subdued GMP suggests that early gains may be limited, but Hyundai Motor India’s robust market position and future growth potential in the EV space make this a stock to watch for long-term investors.