E-Paper
LG India sets IPO price band at ₹1,080-1,140 for valuation of ₹77,500 crore
The LG India IPO will see the white goods maker offer as many as 10.18 crore shares in a price band of ₹1,080-1,140 apiece to raise up to ₹11,600 crore.
The India unit of LG Electronics Inc. has declared its IPO price band, which pegs the valuation at as much as ₹77,500 crore.
The LG India IPO will see the South Korean white goods maker offer as many as 10.18 crore shares in a price band of ₹1,080-1,140 apiece to raise as much as ₹11,600 crore at the upper end, according to a stock exchange filing in Seoul. That would peg the company's valuation at ₹77,500 crore, or about $8.7 billion.
At the peak valuation, the LG India IPO could make the company the No.1 appliance maker listed on Indian bourses by market cap.
LG India IPO: A Timeline
LG Electronics India Ltd. got the regulatory approval for its updated draft red herring prospectus on 25 September and filed the final version on Tuesday, 30 September.
It is set to become the fourth billion-dollar IPO to hit India’s market in 2025 after HDB Financial Services Ltd., Hexaware Technologies Ltd. and Tata Capital Ltd. Tata Capital’s ₹15,500 crore IPO will open on 6 October.
The broader market has struggled this year, with the Nifty 50 Index up 4% and gauges for mid- and small-sized firms flat to lower. That has not dampened the mood for new issues. Indian companies have raised over $11 billion via IPOs, about a fifth more compared with the same period last year.
LG India first filed its IPO papers with the Securities and Exchange Board of India in December. While the approval came through in March, the company deferred the issue because of market volatility around that time.
Axis Bank Ltd., along with the Indian units of Morgan Stanley, JPMorgan Chase & Co., Bank of America Corp. and Citigroup Inc., are the advisers to the share sale, according to the draft prospectus.
