LG Electronics India Debuts with 50% IPO Premium
LG Electronics India Ltd has made a significant impact in the Indian stock market by debuting with a 50% premium over its initial public offering (IPO) price. The company, known for its home appliances and consumer electronics, saw its shares open at Rs 1,715 on the Bombay Stock Exchange (BSE), which is a considerable jump from the IPO price of Rs 1,140. During the morning session, the stock even surged to Rs 1,736, showcasing strong investor interest.
On the National Stock Exchange (NSE), shares opened at Rs 1,710, reflecting a 50% increase, and peaked at Rs 1,749 during intraday trading. This impressive performance indicates a robust demand for LG Electronics in the Indian market, highlighting consumer confidence in the brand. The IPO was priced in the range of Rs 1,080 to Rs 1,140 per share, and at the upper band, the company was valued at over Rs 77,000 crore.
The IPO witnessed remarkable subscription levels, being oversubscribed by 54 times overall. Institutional investors showed particular enthusiasm, with the qualified institutional buyers (QIBs) category subscribing 166.51 times. Retail investors also participated actively, with their portion being subscribed 3.55 times, indicating a broad interest in LG Electronics’ offerings.
Through this IPO, LG Electronics Inc., the promoter of LG Electronics India, sold 10.18 crore shares, which represents 15% of the post-offer paid-up share capital. The entire proceeds from the IPO are directed to the promoter, showcasing their commitment to the company’s growth.
For the fiscal year ending in March 2025, LG Electronics India reported impressive revenue from operations amounting to Rs 24,367 crore. The company manufactures a wide range of products, including washing machines, refrigerators, panel televisions, inverter air conditioners, and microwaves. With manufacturing units located in Noida and Pune, LG is well-positioned to cater to the growing demand for home appliances across India, signaling a bright future ahead for the brand.
