Hyundai Motor India has unveiled plans to invest a significant Rs 32,000 crore in India over the next decade, from 2023 to 2032, as disclosed by Unsoo Kim, Managing Director of Hyundai Motor India, during an IPO-related press conference held in Mumbai on Wednesday.
As part of this long-term investment strategy, the company has allocated Rs 6,000 crore for its Pune facility.
“From a capacity point of view, a new plant in Pune is coming up, which will increase our capacity from currently 824,000 to almost close to 1.1 million, which is a 30 percent addition in capacity by 2028. So you can see that in the next three to four years, almost 30 percent capacity addition is happening, which will give us a lot of headroom both in domestic and exports to increase our volumes as well as market share,” stated Hyundai representatives during the briefing.
Hyundai is also expanding its production capabilities in the electric vehicle (EV) segment and aims to continue its strategy of premiumization. The company views the SUV market as a key growth area in India, citing their extensive global experience as an advantage.
“Because we had very strong experience in the global markets, HMC had a very strong experience. So we were able to really identify that, yes, there could be a huge potential in the Indian market for SUVs. And you can see that how the SUV segment has really grown,” the company remarked.
In line with its growth plans, Hyundai will invest aggressively in new product launches, advanced future technology, and R&D capabilities in India.
Hyundai IPO Launch
The upcoming Hyundai IPO, scheduled for public subscription from October 15 to 17, presents a unique opportunity for both local and global investors to participate in the company’s future growth. Institutional investors will have the chance to subscribe starting October 14, with the issue price set between Rs 1865 to Rs 1960.
Additionally, Hyundai Motor India emphasized its success in penetrating rural markets, noting that rural sales have reached an all-time high.
“Our rural penetration is now at the highest ever in the history of Hyundai. At the same time, I’d like to break this myth that rural customers… want small cars or hatches. Let me share with you, for the January to September period, our SUV contribution in rural is equal to SUV contribution in urban,” company officials revealed during the conference.
This IPO marks a crucial step for Hyundai Motor India as it seeks to expand its market share and continue its trajectory of growth in both domestic and export markets.
