Hyundai seeks to dilute up to 17.5% stake in $3 bn IPO: Report

South Korea's Hyundai Motor is looking to dilute a stake of up to 17.5% in its India entity's IPO for which it plans to file papers on Friday, aiming to raise $2.5 billion to $3 billion, said three sources with direct knowledge of the matter.

Hyundai, India's second-biggest carmaker behind Maruti Suzuki, is likely to file the papers with India's stock market regulator, the people said.

Hyundai did not respond immediately to a request for comment. There will be no issuance of new shares in the IPO, which will only see South Korean parent dilute its stake.