Shares of Hyundai Motor India Ltd, the Indian arm of South Korean automaker Hyundai, on Tuesday made a muted market debut and ended more than 7 per cent lower against the issue price of Rs 1,960.
HMIL commenced operations in India in 1996 and currently sells 13 models across segments.
Shares of Hyundai Motor India Ltd, the Indian arm of South Korean automaker Hyundai, on Tuesday made a muted market debut and ended more than 7 per cent lower against the issue price of Rs 1,960.
The stock listed at Rs 1,931, reflecting a decline of 1.47 per cent from the issue price on the BSE. The stock made some recovery during the initial trade and hit a high of Rs 1,968.80, up 0.44 per cent. But it failed to carry the momentum and slumped 7.80 per cent to Rs 1,807.05 during the day.
Shares of the firm finally ended at Rs 1,820.40 apiece, down 7.12 per cent.
On the NSE, the stock made its debut at Rs 1,934, down 1.32 per cent. Intra-day, it tanked 7.80 per cent to Rs 1,807. The stock ended at Rs 1,845, lower by 5.86 per cent.
The company's market valuation stood at Rs 1,47,914.98 crore.
In terms of volume, 15.87 lakh shares of the firm were traded on the BSE and 286.20 lakh shares exchanged hands on the NSE during the day.
"Hyundai Motor India Ltd's IPO listed at Rs 1,934, marking a 1.33 per cent loss against its issue price of Rs 1,960, which was largely in line with expectations.
"Despite the discounted listing, Hyundai Motor India's strong fundamentals, being the second-largest passenger vehicle manufacturer in India and its strategic focus on the SUV segment, continue to support its long-term growth prospects," Shivani Nyati, Head of Wealth at Swastika Investmart Ltd, said.
In the equity market, the benchmark indices gave up early gains and ended sharply lower. The BSE Sensex ended 930.55 points or 1.15 per cent lower at 80,220.72 and the NSE Nifty slumped 309 points or 1.25 per cent at 24,472.10.
The initial public offer of Hyundai Motor India Ltd got subscribed 2.37 times on the last day of the bidding on Thursday, helped by institutional buyers.
This was the biggest IPO in the country, surpassing LIC's initial share sale of Rs 21,000 crore.
The Rs 27,870 crore initial share sale had a price band of Rs 1,865-1,960 per share.
This was the first initial share sale by an automaker in over two decades, following Japanese carmaker Maruti Suzuki's listing in 2003.
The Initial Public Offer (IPO) was entirely an Offer For Sale (OFS) of 14,21,94,700 equity shares by promoter Hyundai Motor Company (HMC), with no fresh issue component.
HMIL commenced operations in India in 1996 and currently sells 13 models across segments.