The corporate had filed its draft purple herring prospectus (DRHP) with SEBI within the first week of December for its maiden public problem. The IPO dimension is predicted to be round Rs 15,000 crore, doubtlessly making it India’s fifth-largest IPO, following these of Life Insurance coverage Company, Hyundai Motor India, Paytm, and Coal India.
The providing will probably be a wholly offer-for-sale (OFS) by the promoter, LG Electronics Inc., which plans to promote 10.18 crore shares, representing a 15% stake within the firm’s fairness capital. The corporate’s choice to go public comes at a time when India’s capital markets have been witnessing sturdy demand for large-sized choices.
LG Electronics India is a dominant participant within the shopper electronics house. It holds the highest place within the Indian marketplace for fridges, washing machines, and microwave ovens. It is usually the second-largest participant within the air conditioner section and one of many prime two manufacturers within the tv class.
This IPO will make LG Electronics the second South Korean firm to record on Indian exchanges. In October 2024, Hyundai Motor India efficiently raised Rs 27,870 crore by way of its public problem, which was oversubscribed 2.37 occasions. Hyundai’s IPO grew to become the largest-ever in India, surpassing the Rs 21,008 crore raised by Life Insurance coverage Company of India in Could 2022.
Morgan Stanley, JPMorgan, Axis Capital, BofA Securities, and Citi are the lead managers for the LG Electronics India IPO.LG entered the Indian market in 1997 and has established a robust manufacturing base within the nation. The corporate operates two manufacturing services — one in Higher Noida, Uttar Pradesh, and the opposite in Ranjangaon, close to Pune. Notably, LG manufactures practically 97-98% of the merchandise it sells in India, demonstrating its deep-rooted dedication to native manufacturing and the ‘Make in India’ initiative.
