Shares of Hyundai Motor India Ltd, the Indian arm of South Korean automaker Hyundai, on Tuesday made a muted market debut and further fell by nearly 6 per cent 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.
Later, the stock made some recovery and hit a high of Rs 1,968.80, up 0.44 per cent.
But, it failed to carry the momentum and further tanked 5.81 per cent to Rs 1,846.
On the NSE, the stock made its debut at Rs 1,934, down 1.32 per cent. Later, in the trade shares of the firm tumbled 5.88 per cent to Rs 1,844.65.
The company's market valuation stood at Rs 152,290.52 crore during the late morning trade.
In traded volume terms, 11.72 lakh shares of the firm were traded at the BSE and 177.84 lakh shares on the NSE.
"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," said Shivani Nyati, head of wealth, Swastika Investmart Ltd.
In the equity market, the benchmark indices gave up early gains and were trading lower.
The BSE Sensex traded 243.19 points lower at 80,962.92 and the NSE Nifty quoted with a decline of 74 points at 24,705.45.
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 largest 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.
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.
