LG to Raise 15000 Crore Rupees: LG is preparing to launch an IPO of Rs 15,000 crore, got approval from SEBI.
South Korea’s LG Electronics will soon launch an initial public offering (IPO) of its Indian unit. Market regulator Securities Exchange Board of India (SEBI) has approved LG’s draft papers.
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LG to Raise 15000 Crore Rupees
The issue size of this IPO will be Rs 15,000 crore. This issue is an offer for sale, through which 10.18 crore equity shares of face value of Rs 10 will be sold. The company will not get any income from the IPO. The company filed a Draft Red Herring Prospectus (DRHP) with SEBI on December 19.
It will be one of the Top-5 Largest IPOs in the Country,
so far. With this issue size, this public issue will be one of the top-5 largest IPOs in the country so far. In the DRHP, Morgan Stanley, JP Morgan, Axis Capital, BofA Securities and Citigroup have been made the lead managers of this issue.
After the $1.8 billion IPO, when the shares are listed, the valuation of LG Electronics India Private Limited could be around $13 billion i.e. Rs 1.10 lakh crore. LG Electronics is bringing this IPO as part of a strategy, as the company has set a target of electronics revenue of $75 billion, i.e. Rs 6.35 lakh crore by 2030, and this is a part of the efforts to bring the consumer electronic business back on track. These things were said by the company’s CEO William Cho in an interview with Bloomberg Television in August.
LG to Raise 15000 Crore Rupees: The company will not get direct income from the IPO
This IPO will be Rs 15,000 crore in size and will be an Offer for Sale (OFS). In this, 10.18 crore equity shares with a face value of Rs 10 will be sold. It is worth noting that the company will not get any direct financial benefit from this public issue, as it will be a sale organized by shareholders. LG Electronics India had filed a Draft Red Herring Prospectus (DRHP) with SEBI on December 19, which has now been approved.
In December 2024, home appliances and consumer electronics giant LG Electronics India filed preliminary papers for an IPO with the Securities and Exchange Board of India (SEBI). Under this IPO, LG Electronics India’s parent company LG will sell more than 10.18 crore shares. This is equivalent to 15 % stake.
According to media reports, people aware of the matter said that now LG Electronics India Limited has got approval from SEBI to bring its IPO.
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