Why are Hyundai’s promoters launching the largest IPO in Indian history?

The primary reason is to take home more than $3 billion. This is a 100% offer-for-sale issue, meaning no funds are being raised for business expansion or working capital. The promoters are merely reducing their stake.

They plan to raise nearly $1 billion from anchor investors, who will have a lock-in period of 30 days for 50% of their holdings and 90 days for the remaining 50%.

That’s one aspect of the story.

The second part is that the IPO is priced at a reasonable P/E ratio of 26, which is moderate and not overly expensive.

Given this scenario, where the IPO comes at a fair valuation but is purely an offer-for-sale with no funds allocated for growth, there’s a good chance that anchor investors might exit once their lock-in period ends.

These are just key points to consider, not a recommendation to apply or skip the IPO.

I personally will wait for its listing and see couple of quarterly results. Wont be bate of FOMO.

Compared to other Private banks, KMB has more potential to do value-unlocking, and given the fact, the increase in the affluent class, KMB poised to do well, although compounding at 25% for a decade is day-dream, 5-7 times in a decade should be their trajectory, yes I would agree no large company can grow beyond country GDP(unless export), India itself will grow 6-8%, and KMB themselves are not in top 3 or even top 5 for that matter, so I would say they are not systematically important bank yet.

i partially disagree, although long term compunding should be somewhere around 18%, given the underperformance for almost half a decade, we should easily see it double in next the 3-4 years

oke lots of pessimism back in the company… Enough for me to reenter this… Had exited on ED raids… they have come clean…

Disc: Invested 180