LG Electronics India IPO 2025

LG Electronics - the South Korean electronics giant which is very popular in India is planning to list its Indian arm on the domestic exchanges. According to a Bloomberg report, the company aims to increase its valuation by $15 billion by listing on the Indian stock market via an IPO date reportedly is in the first half of year 2025. As per other reports the company has already filed the draft red herring prospectus with (DRHP) with SEBI earlier this month for the same.

According to the DRHP, LG Electronics plans to issue 101.82 million shares to the public with no fresh issue. It will reduce the owners' equity in the company by 15% to 57.69 crore shares according to a report. The merchant bankers appointed for the issue are Morgan Stanley India Company, JP Morgan India, Axis Capital, BofA Securities India, and Citigroup Global Markets India.

Why LG wants to issue IPO in India?

India is experiencing an IPO boom with major players such as NTPC, Hyundai and Swiggy coming up with their IPO recently and LG wants to ride on this wave. LG is already known for their quality electronic products in India, and they further want to become a national brand in India and this IPO could be a significant step in that direction.

In their DRHP, LG has mentioned that listing itself on the domestic exchanges could provide a boost to their visibility and brand image at the same time would enhance their liquidity.

Although LG Electronics shares declined by about 13% in Seoul, but it is still going strong in India as LG revenue from operation in India in the FY year ending 2024 was INR 64,087.97 crore.