LG Electronics India's IPO has defied current market trends by achieving a remarkable debut on the stock market, marking the strongest listing for IPOs exceeding ₹10,000 crore since 2019. The shares of LG Electronics India listed with a premium of around 50%. The stock opened at ₹1,715 on the Bombay Stock Exchange (BSE) and ₹1,710.10 on the National Stock Exchange (NSE).
The ₹11,607 crore IPO was entirely an offer for sale (OFS) by the Korean parent company, LG Electronics Inc. This IPO has set a record for the highest listing premium at 50.4% for issues exceeding ₹10,000 crore.
The IPO was oversubscribed by 54.02 times. The qualified institutional buyers (QIB) portion was oversubscribed by 166.5 times, while retail investors bid 3.5 times their reserved quota. This made it the second most heavily subscribed IPO of 2025.
Prior to the listing, the Grey Market Premium (GMP) for LG shares was ₹360, a 31.6% premium over the IPO price of ₹1,140.
Analysts have expressed optimism about LG's growth potential, initiating coverage with positive ratings and target prices ranging from ₹1,780 to ₹2,050. According to analysts, the stock is expected to draw strong investor interest due to its attractive valuations and solid business prospects.
In FY25, LG Electronics India reported a 14% year-on-year increase in revenue, reaching ₹24,631 crore, and a 46% surge in profit after tax to ₹2,203 crore. The company maintained an EBITDA margin of 12.8% and a PAT margin of 9%, remained debt-free, and demonstrated a strong financial profile with a return on capital employed (ROCE) of 43% and return on equity (ROE) of 37%.
LG Electronics India has a strong brand presence, leadership across categories, and robust financial metrics. The company's leadership in the home appliances and consumer electronics industry is driven by its strong brand, innovation, extensive distribution reach, and robust manufacturing infrastructure. LG has successfully leveraged India's rising disposable income, the increasing demand for premium consumer durables, and its expansion into tier-2 and tier-3 cities to sustain growth.
William Cho, CEO of LG Electronics, stated that India is now at the center of their Global South strategy, and they anticipate further growth for both LG and LGEIL.
