Hyundai Motor India's Shares Drop 7% on Market Debut

• Hyundai Motor India's shares fell 7.2% on debut, closing at 1,819.60 rupees, under the IPO price of 1,960 rupees.
• The company's valuation fell short of the targeted $19 billion, settling at under $18 billion.
• Despite the IPO being oversubscribed, retail investors showed little interest due to concerns about high share prices and auto industry slowdown.
• Analysts attribute the weak debut to high valuation and near-term weakness in car sales.
• Hyundai plans to use the proceeds from the sale of a 17.5% stake in the Indian unit for research and new product launches.

Source: Reuters