LG Electronics India IPO Explained: Timeline, Fundamentals, Peer Comparison & SWOT Analysis

From “Life’s Good” TVs to the AC in your living room, LG has been part of Indian homes for decades. Its India arm is now opening the doors to public shareholders. The real question for investors is whether LG’s brand power, margins, and service muscle are strong enough to justify the premium - let’s find out below.

IPO Snapshot

IPO Timeline

GMP Watch

Recent grey-market talk suggests a premium of ₹228–₹251 (about 20–22% over the cap price). Treat this as unofficial and volatile - it does not predict listing outcomes.

What is LG Electronics India & what it does

Incorporated in 1997, LG Electronics India Limited (LGEIL) manufactures and distributes home appliances and consumer electronics (excluding mobile phones). It sells to both B2C and B2B customers in India and select overseas markets, and provides installation, repairs and maintenance for its products.

Business segments

• Home Appliances (HA)
• Air Solutions (AS)
• Home Entertainment (HE)

Manufacturing, distribution & service footprint

• 2 manufacturing units: Noida and Pune
• Supply chain: 25 product warehouses (2 CDCs + 23 RDCs), 51 branch offices, 30,847 sub-dealers (as of Mar 31, 2025)
• Service: 1,006 service centers, 13,368 engineers, 4 call centers (as of Jun 30, 2025)
• Employees: 3,796 (as of Jun 30, 2025)
• Brand philosophy: “Life’s Good When We Do Good.”

LG Electronics India IPO Valuation - FY2025

Key Fundamentals (YoY)

All figures ₹ crore; FY ends March 31.

FY25 margins (approx.): EBITDA 12.8%, PAT 9.0%.

Peer Group Comparison

LG row reflects upper-band assumptions where relevant.

These peers are established listed consumer-durables names. LG’s row helps compare multiples and profitability at the offer price.

SWOT Analysis

Use of Proceeds

• This IPO is 100% OFS. Proceeds go to the selling shareholder (LG Electronics Inc., Korea).
• There is no fresh issue, so no primary capital flows to LG Electronics India. Evaluate the offer on earnings quality, growth durability, and price.

Final Verdict

A strong consumer-durables franchise with brand power, scale, and healthy FY25 margins is coming at a premium implied valuation. With no primary infusion, the investment case rests on steady earnings, disciplined working capital, and category growth (especially ACs). If you pay up, you’re betting that margins hold and premium mix expands through cycles.

FAQs

1. What are the dates and the price band?

Bidding runs Oct 7–9, 2025 at ₹1,080–₹1,140 per share (FV ₹10).

2. What’s the lot size and minimum investment?

13 shares per lot; ₹14,040–₹14,820 at the band.

3. Is there a fresh issue?

No. It’s a 100% OFS (about 10.18 crore shares, 15% stake).

4. Who are the lead managers and registrar?

BRLMs: Morgan Stanley, J.P. Morgan, Axis Capital, BofA Securities, Citigroup. Registrar: KFin Technologies.

5. How do I apply?

Apply via ASBA/UPI through your broker or bank app during the bid window.

Disclaimer: This article is for education only. It is not investment advice or a recommendation to buy or sell any security. Always read the official RHP/price-band advertisement and consult a licensed adviser before investing.