By Sethuraman N R, Aditi Shah and Aditya Kalra

NEW DELHI, June 15 (Reuters) - Hyundai Motor's ( HYMTF )

India unit sought regulatory approval on Saturday

for a stock market listing in Mumbai which could be the nation's

biggest and will see the South Korean parent sell a stake of up

to 17.5% in the company.

The prospectus filed gave no details of the pricing of the

initial public offering or the company's valuation, but sources

have told Reuters Hyundai aims to raise around $2.5-$3 billion

at a valuation of up to $30 billion.

India's second-biggest car maker behind Maruti Suzuki

, Hyundai will not issue new shares in the IPO which

will involve its South Korean parent selling part of its stake

in the wholly owned unit to retail and other investors via a

so-called "offer for sale" route.

Hyundai Motor India expects that the listing of the equity

shares "will enhance our visibility and brand image", and

"provide liquidity and a public market" for the shares, the

company said in the draft prospectus filed on Saturday.

South Korea's Hyundai will sell up to 142 million of the

total 812 million shares, or 17.5%. The sources have said the

final percentage could be lower.

Indian stock markets are currently trading near

record highs.

Hyundai Motor India will be the country's first car maker to

go public in two decades since Maruti Suzuki in 2003.

The listing is seen putting Hyundai Motor India on a

stronger footing versus its rivals such as Maruti Suzuki and

Tata Motors as it could make future fundraising easier, without

the need for dependency on its Korean parent.

India, the world's biggest car market after China and the

U.S., is an important growth avenue for Hyundai and also its

third-biggest revenue generator.

(Reporting by Sethuraman N R in Bengaluru, Aditya Kalra and

Aditi Shah in New Delhi; Editing by Muralikumar Anantharaman)