The banks join Citigroup Inc, HSBC Holdings Plc and JPMorgan Chase & Co as advisers on the IPO, which Bloomberg News has reported could raise about US$2.5 billion for India’s second biggest carmaker.

A representative for Morgan Stanley declined to comment. Hyundai and Kotak didn’t respond to requests for comment.

Hyundai Motor India Ltd plans to file for an IPO in June, International Financing Review reported earlier today, when it also said Kotak and Morgan Stanley were joining the syndicate, citing unnamed people with knowledge of the situation. IFR said the listing could raise as much as US$3 billion.

An IPO of US$2.5 billion to US$3 billion would rival that of Life Insurance Corp of India’s in 2022, when it raised about 206 billion rupees (US$2.5 billion).

The line-up of banks may still change, and no final decision has been made on the size and timing of a share sale, the people said, asking not to be identified discussing private information. If the South Korean company goes ahead with an IPO, it will used the proceeds to expand operations, Bloomberg has reported.

India’s BSE Sensex stock index has risen about 20% over the past seven months and is trading at a record high.

Volatility has been increasing in the lead up to national elections — with polling due to conclude on Saturday, a gauge of volatility in Indian stocks touched the highest in nearly two years on Monday.