LG Electronic IPO: Launch Date, Expected GMP and Other Key Details

New Delhi: LG Electronics India is set to launch its IPO from October 7 to October 9, 2025, with shares expected to list on the stock exchanges on October 14. The allotment results will be announced on October 10, and refunds processed by October 13 ahead of the listing.

Price Band, Lot Size, and Subscription Details

The IPO is entirely an offer for sale by the South Korean parent company, meaning no fresh capital will be raised by the Indian subsidiary. The price band for the shares is set between Rs 1,080 and Rs 1,140, with a lot size of 13 shares, making the minimum investment around Rs 14,820 at the upper price band.



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Company Background and Market Position

LG Electronics India is a leading consumer electronics and home appliance company with a strong presence in the Indian market. It operates two manufacturing facilities in Noida and Pune, with a new plant under construction in Andhra Pradesh.

Manufacturing and Supply Chain Highlights

Over 54 percent of its components are sourced domestically, aligning with India’s “Make in India” initiative. The company’s product portfolio includes refrigerators, washing machines, air conditioners, and televisions, supported by a wide network of over 36,000 market touchpoints.

Investment Highlights and Market Opportunity

This IPO offers investors a chance to own a stake in a trusted brand that has been part of Indian homes for decades, benefitting from growth in the consumer durable sector driven by rising incomes and premiumization. The IPO is drawing considerable interest with a grey market premium suggesting healthy demand.

Offer for Sale (OFS) Details and Use of Proceeds

As this is an offer for sale, the proceeds will go to the promoter, LG Electronics Inc., and not into the Indian company for expansion or debt reduction.

Valuation and Peer Comparison

At the upper price band, LG Electronics India is valued at a post-issue P/E of about 35.1x FY25 expected earnings, and a valuation of around Rs 77,400 crore, which is in line with or slightly above domestic consumer durable peers.

Risk Factors and Contingent Liabilities

Potential investors should consider risks such as dependency on the parent company for intellectual property and royalty payments amounting to significant contingent liabilities, and high competition in the sector.

Broker Recommendations and Market Sentiment

Brokerages have mixed views, with some recommending subscription for long-term gains due to the company’s strong market leadership and expanding digital presence, while others advise caution on valuation grounds.

Important Dates: Allotment, Refunds, and Listing

The allotment finalization will be done by October 10, refunds/credits processed by October 13, and the listing date is set for October 14, 2025.

 

 

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