LG Electronics India IPO Day 1: ₹11,607 Crore Offer Draws Early Demand, GMP Hints at Strong Listing Ahead
- 7th October 2025
- 12:30:00 PM
- 3 min read
Summary
The ₹11,607 crore LG Electronics India IPO, comprising a 15% stake sale through an offer-for-sale of 10.18 crore shares by its South Korean parent, opened with steady investor demand. Ahead of listing, the company’s unlisted shares were trading at a 27–28% premium in the grey market, signalling robust sentiment for one of India’s biggest consumer electronics offerings.
Mumbai | October 7
Steady Debut for LG Electronics India IPO
The much-anticipated LG Electronics India IPO opened for bidding on Tuesday, beginning on a firm note despite cautious market sentiment. By 11 a.m., the issue had received bids for 1.33 crore shares against the 7.13 crore available, equating to 19 per cent overall subscription, NSE data showed.
The retail investor segment was subscribed 21 per cent, while non-institutional investors (NIIs) took up 37 per cent of their quota. The qualified institutional buyer (QIB) category typically gains traction closer to closing and is expected to drive demand over the next two sessions.
Issue Structure, Price Band and Key Dates
The ₹11,607-crore offer consists purely of an offer for sale (OFS) of 10.18 crore equity shares, representing a 15 per cent stake being divested by the parent company LG Electronics Inc. There is no fresh issue component, meaning the entire proceeds will accrue to the promoter.
The price band has been fixed between ₹1,080 and ₹1,140 per share, valuing the company at roughly ₹77,400 crore at the top end. The lot size for retail investors is 13 shares, requiring a minimum investment of about ₹14,820.
The IPO will remain open until Thursday, October 9, with allotment finalisation due on October 10, refunds and share credits expected by October 13, and listing on NSE and BSE scheduled for October 14.
Ahead of the opening, the firm raised ₹3,475 crore from 149 anchor investors, including BlackRock, Fidelity Funds, Goldman Sachs, Abu Dhabi Investment Authority, Government of Singapore, and leading domestic fund houses such as HDFC Mutual Fund, ICICI Prudential MF and SBI Life Insurance.
About LG Electronics India
LG Electronics India Ltd, a wholly-owned subsidiary of LG Electronics Inc., South Korea, is a leading manufacturer of consumer electronics and home appliances with a presence spanning both B2C and B2B segments. Its extensive product line-up includes televisions, washing machines, refrigerators, inverter air-conditioners and microwaves, distributed through more than 35,000 sales touchpoints across India.
The company operates large-scale manufacturing facilities in Noida (Uttar Pradesh) and Pune (Maharashtra), together accounting for more than 85 per cent of domestic sales. Over the years, LG India has retained leadership positions in several categories — commanding market-leading shares in front-load washing machines, premium televisions, and inverter ACs — supported by its strong supply chain, local sourcing and brand recall built over 25 years of Indian operations.
Financially, the company reported revenue of ₹2.43 lakh crore and net profit of ₹22,033 crore in FY25, up from ₹1.99 lakh crore and ₹13,449 crore respectively in FY23, reflecting steady growth and strong operating margins.
Grey-Market Premium Signals Optimism
Unlisted shares of LG Electronics India were quoted around ₹1,458 per share in the grey market, indicating a 27–28 per cent premium over the upper end of the price band. The rising GMP reflects sustained investor confidence in the company’s fundamentals and suggests a potentially strong listing when the stock debuts on October 14.
Diaclaimer: Grey market premium is unofficial and not regulated by SEBI. It only indicates market sentiment and should not be the sole factor in investment decisions.
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Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.
