LG Electronics India IPO receives bids worth ₹4.39 lakh crore, becomes most subscribed issue

LG Electronics IPO became the most subscribed IPO on record as it received bids worth ₹4.39 lakh crore surpassing Bajaj Housing Finance IPO which got bids worth ₹3.24 lakh crore, data from the National Stock Exchange showed.

All category of investors enthusiastically participated in the IPO. Pie set aside for large investors like banks, mutual funds and foreign institutional investors, which fall under the category of Qualified Institutional Buyers (QIBs) was booked 166.51 times, shares set aside for high net-worth individuals, which fall under the category of Non Institutional Investors, was subscribed 22.44 times and portion set aside for retail investors was booked 3.54 times.

The ₹11,607.01 crore initial share sale, with a price band of ₹1,080 to ₹1,140 per share, was an entirely offer-for-sale of 10.18 crore shares by the South Korean-based parent, LG Electronics Inc. The lot size is 13 shares.

As there is no fresh issue component, the company will not receive any IPO proceeds.

LG Electronics India, a leading player in major home appliances and consumer electronics, manufactures and sells products, including LED TV panels, washing machines, inverter air conditioners, refrigerators and microwaves.

The basis of allotment of the LG Electronics India IPO will be finalised on Friday, October 10, while shares will be listed on the stock exchanges on Tuesday, October 14.

The company reported a post-tax profit of ₹1,511.07 crore and revenue from operations of ₹21,352 crore for the financial year ended March 31, 2024. LG Electronics India's total income in FY25, including other income, rose 14.25% to ₹24,630.63 crore, according to the financial data accessed by the business intelligence platform Tofler.

The company’s pre-tax profit rose 45.5% in FY25. The South Korea-based parent entity LG Electronics is selling a 15% stake through offer for sale (OFS) in the Indian unit’s initial public offering (IPO).