About the Company:
Hyundai Motor India Ltd is the third largest auto original equipment manufacturer (“OEM”) in the world based on passenger vehicle sales in CY2023.
Company has been the second largest auto OEM in the Indian passenger vehicles market since Fiscal 2009 (in terms of domestic sales volumes).
Company has a track record of manufacturing and selling four-wheeler passenger vehicles that are reliable, feature-rich, innovative and backed by latest technology.
Company has a portfolio of 13 models across multiple passenger vehicle segments by body type such as sedans, hatchbacks, sports-utility vehicles (“SUVs”) and battery electric vehicles (“EVs”).
Company has also been India’s largest exporter of passenger vehicles from Fiscal 2005 to the first 11 months of Fiscal 2024, having exported the highest cumulative number of passenger vehicles for the same period.
Since 1998 and up to March 31, 2024, Company has cumulatively sold nearly 12 million (1.2 cr) passenger vehicles in India and through exports.
Company’s Background:
Company is a part of the Hyundai Motor Group, which is the third largest auto OEM in the world based on passenger vehicle sales in CY2023
Company has the support of HMC in many aspects of our operations including management, R&D, design, product planning, manufacturing, supply chain development, quality control, marketing, distribution, brand, human resources and financing, among others. Company benefits from HMC’s centralised R&D hub that oversees global R&D initiatives for the Hyundai Motor Group.
Company benefits from the strong “Hyundai” brand. Globally, “Hyundai” is focused on delivering an outstanding customer experience, grounded in design leadership, engineering excellence and exceptional value in every passenger vehicle they sell.
About Hyundai Brand:
In addition to benefitting from the strength of the “Hyundai” brand globally, company has established “Hyundai” as a trusted brand in India. This is demonstrated by the more than 50 awards that our Company has received for the Hyundai brand and products in Fiscal 2024 alone.
Company has received the highest number of the Indian Car of the Year (ICOTY) awards over the years. The eight passenger vehicle models that have received this accolade are i10 (2008), Grand i10 (2014),
Elite i20 (2015), Creta (2016), Verna (2018), Venue (2020), i20 (2021) and Exter (2024). Further IONIQ 5 also won the Green Car of the Year award in 2024.
Royalty Agreement between “Hyundai Motor Company” and “Hyundai Motor India”.
Hyundai Motor Company has, among others, granted Company a non-exclusive, non-transferable right and license to manufacture and sell passenger vehicles and/or parts as specified in the Royalty Agreement in India and to use HMC’s trademarks in connection with such manufacturing and selling activities for which Company is required to pay an amount to HMC equal to 3.5% of our sales revenue.
Company’s Manufacturing Facility in India:
Company’s manufacturing plant located at Irrungattukottai, Sriperumbudur in Chennai, Tamil Nadu (“Chennai Manufacturing Plant”) was HMC’s first global integrated manufacturing plant outside Korea. The Chennai Manufacturing Plant had a production capacity of 824,000 units as of March 31, 2024.
Company’s Installed Capacity and Capacity Utilization:
Company’s Dealer Network:
As of December 31, 2023, Company has partnered with 363 dealer companies for distribution and sales in India.
Company’s Domestic Sales Volumes by Passenger Vehicle Segment:
Hyundai Group’s Commitment to India:
Company has invested ₹297.41 billion (US$5.04 billion) in India operations as of December 31, 2023 in tangible fixed assets and capital work in progress since our inception. With the support from HMC, we have built the first and second-largest manufacturing and supply chain ecosystem within the Hyundai Motor Group outside Hyundai’s home country, Korea.
Company serves as a production and export hub for emerging markets for HMC, particularly for passenger vehicle models such as Verna and Venue. Company’s Chennai Manufacturing Plant had an annual production capacity of 824,000 units as of March 31, 2024.
Company is expanding the Manufacturing Capabilities in India:
Company is expanding the manufacturing capabilities in India with the recent acquisition of a manufacturing plant in Talegaon, Maharashtra (“Talegaon Manufacturing Plant”) which is expected to commence commercial operations partly in the second half of Fiscal 2026.
Company expects our annual production capacity across the Chennai and Talegaon manufacturing plants in aggregate to increase to 994,000 units when the Talegaon Manufacturing Plant is partly operational and to 1,074,000 units once the Talegaon Manufacturing Plant is fully operational.
Company’s Operational Metrics:
Management Team:
- Mr. Unsoo Kim (Designation: Managing Director and Chairperson)
- Mr. Tarun Garg (Designation: Whole-time Director and Chief Operating Officer)
- Mr. Gopalakrishnan Chathapuram Sivaramakrishnan (Designation: Whole-time Director and Chief Manufacturing Officer)
Objectives of the Issue:
Offer For Sale: (Rs. will be updated)
- Company will not receive any proceeds from the Offer for Sale. The Selling Shareholders will be entitled to their respective portion of proceeds of the Offer for Sale.
Positives for the Company:
Company is the second largest auto OEM in India and the largest exporter of passenger vehicles.
- Company has been the second largest auto OEM in the Indian passenger vehicles market since Fiscal 2009 (in terms of domestic sales volumes).
- Company has consistently been the largest auto OEM in India by sales volume in the mid-size SUV sub-segment from Fiscal 2019 to the first 11 months of Fiscal 2024.
- Company’s 2016 India Car of the Year (ICOTY) awardee, Creta had a market share of 30% in the mid-size SUV sub-segment in the first 11 months of Fiscal 2024. Further, Verna was the top selling model in the premium sedans sub-segment with 31.2% market share, in the first 11 months of Fiscal 2024.
Company has a diverse portfolio of passenger vehicles across powertrains and major passenger vehicle segments.
- Company’s current portfolio of passenger vehicles caters to a diverse customer base offering “something for everyone”.
- Company’s portfolio of 13 passenger vehicle models across major passenger vehicle segments by body type include sedans (Aura and Verna), hatchbacks (Grand i10 NIOS, i20 and i20 N Line) and SUVs (Exter, Venue, Venue N Line, Creta, Creta N Line, Alcazar, Tucson and IONIQ 5).
Pan-India sales, distribution and after-sale services network offered by the dealers.
- As of December 31, 2023, Company had 1,366 sales outlets across 1,031 cities and towns in India and 1,550 service centres across India across 962 cities and towns in India. This has grown from 1,167 sales outlets across 873 cities and towns in India and 1,307 service centres across 814 cities and towns in India as of March 31, 2021.
- Company’s sales and service network was the second largest in India in terms of the number of customer touchpoints as of March 31, 2023.
Company Plans to Focus on increasing EV market share.
- Company seeks to calibrate our EV strategy and plan our EV timelines in line with market demands in India, by launching the appropriate EV models within each price segment.
- Company is following a transition strategy having started with the launch of high-end, premium EVs and plan to transition towards the mass markets as the EV market and ecosystem scales up in India. In line with the same, we aim to launch four EV models in future including Creta EV in the last quarter of Fiscal 2025.
Further strengthening Company’s position as the export hub for Hyundai Motor Company.
- Company intends to leverage our local manufacturing capabilities to set ourselves up as HMC’s largest foreign production base in Asia.
- Company aims to become an export hub for HMC for exports to emerging markets including South Asia, Latin America, Africa and Middle East with the potential to export to other global markets. Company’s aim is to be the global manufacturer and supplier of cost-optimised passenger vehicles including the Grand i10 NIOS, i20, Aura, Venue, Verna, Creta and Alcazar.
Financials of the Company:
| (in Crores) | FY 21 | FY 22 | FY 23 | Upto 31st Dec 23 |
|---|---|---|---|---|
| Revenue | 41,404 | 47,966 | 61,436 | 53,298 |
| Net Profit | 1,881.1 | 2901.5 | 4709.2 | 4382.8 |
Valuation of Peer Group Companies:
| Company Name | Face Value | EPS | PE Ratio | RoNW | NAV |
|---|---|---|---|---|---|
| Hyundai Motor Company Ltd | 10 | 57.96 | TBA | 23.48% | 246.82 |
| Maruti Suzuki India Ltd | 5 | 271.82 | 47.28 | 13.29% | 2,045.53 |
| Tata Motors Ltd | 2 | 6.30 | 150.09 | 5.33% | 118.34 |
| Mahindra & Mahindra Ltd | 5 | 91.96 | 30.32 | 18.24% | 506.60 |
IPO Details:
| Details | Info |
|---|---|
| Issue Opens on | 14th October 2024 |
| Issue Closes on | 16th October 2024 |
| Issue Price | Will be Updated |
| Face Value | Will be Updated |
| Retail Category Allocation | Will be Updated |
| Minimum Lot | Will be Updated |
| Minimum Investment | Will be Updated |
| Issue Constitutes | Will be Updated |
| Issue Size | Will be Updated |
| Market Cap | Will be Updated |
| Listing at | NSE & BSE |
| Equity Shares Offered (Fresh) | Will be Updated |
| Equity Shares Offered (OFS) | Will be Updated |
| Total Equity Shares Offered (Fresh + OFS) | Will be Updated |
| Equity Shares Prior to the Issue | Will be Updated |
| Equity Shares after the Issue | Will be Updated |
IPO Valuation Parameters:
| Earnings Per Share (EPS) | Price To Earnings ratio (PE) | Return on Net Worth (RoNW) | Net Asset Value (NAV) |
|---|---|---|---|
| 57.96 | Will be Updated | 23.48% | 246.82 |
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| Hyundai Motor India Ltd (HMIL) is a prominent player in the global automotive industry, ranked as the third-largest auto original equipment manufacturer (OEM) in the world by passenger vehicle sales in CY2023. In India, HMIL has held its position as the second-largest auto OEM in the passenger vehicle market since Fiscal 2009, reflecting its strong foothold in the domestic market.
Renowned for its reliable, feature-rich, and innovative four-wheeler passenger vehicles, Hyundai’s portfolio consists of 13 models, spanning various segments including sedans, hatchbacks, sports-utility vehicles (SUVs), and battery electric vehicles (EVs). This diversified lineup positions Hyundai as a leader in delivering cutting-edge technology to Indian consumers. In terms of exports, Hyundai has dominated the Indian market, maintaining the title of India’s largest exporter of passenger vehicles from Fiscal 2005 to the first 11 months of Fiscal 2024. It has cumulatively sold nearly 12 million vehicles (domestically and through exports) since 1998. As part of its future growth strategy, Hyundai is expanding its manufacturing capacity in India with the acquisition of a plant in Talegaon, Maharashtra. The plant, expected to commence operations in Fiscal 2026, will significantly boost the company’s production capacity. Hyundai also aims to strengthen its presence in the EV market. Investors can Apply in this IPO for long Term. |
Important Dates:
| Finalization of Basis of Allotment | Will be Updated |
| Initiation of Refunds | Will be Updated |
| Credit of Equity Shares: | Will be Updated |
| Listing Date: | Will be Updated |
| Company Contact Info: |
|---|
| Hyundai Motor India Ltd Plot No. H-1, SIPCOT Industrial Park, Irrungattukottai, Sriperumbudur Taluk, Kancheepuram District 602 105, Tamil Nadu, India. Telephone: +91 44 6710 5135 Email: complianceofficer@hmil.net website: www.hyundai.com/in/en |
| Registrar to the Issue: |
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| KFin Technologies Limited Selenium Tower B, Plot No.31-32 Gachibowli, Financial District Nanakramguda, Serilingampally Hyderabad 500 032 Telangana, India Tel: +91 40 6716 2222/ 1800 309 4001 E-mail: hmil.ipo@kfintech.com Website: www.kfintech.com |
| Check IPO Allotment Status: |
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KfinTech Website (Click on the below Link)http://kfintech/IPO/Allotment_Status |
