Hyundai Motor India has obtained approval for its initial public offering from the Securities and Exchange Board of India (SEBI), according to two sources familiar with the situation.

The South Korean automaker plans to raise $3 billion at a roughly $20 billion valuation, sources previously told Reuters.

This would make it the first carmaker to go public in India in two decades, following market leader Maruti Suzuki's IPO in 2003.

Hyundai India did not respond to a request for comment.

The automaker is looking to reclaim market share from increasingly formidable domestic rivals, such as Tata Motors, by expanding its SUV lineup.

It plans to launch its first India-made electric vehicle early next year and introduce at least two gasoline-powered models tailored for the market starting in 2026, three sources with knowledge of the company's plans previously told Reuters.

India third-largest Hyundai market

India is the third-biggest revenue generator globally for Hyundai after the U.S. and South Korea, and it has already invested $5 billion in the country with commitments to pump in another $4 billion over the next decade.

Separately, SEBI also approved the IPO of SoftBank-backed food delivery giant Swiggy, which is targeting a valuation of around $15 billion and aims to raise $1-1.2 billion, according to multiple sources familiar with the matter.