LG Electronics India may soon file draft papers for its mega ₹15,237 crore IPO: Report

The report said the draft red herring prospectus (DRHP) or preliminary IPO papers will be e-filed with SEBI shortly, adding that the issue will be entirely an offer-for-sale (OFS) by the parent company.

Investment banks such as JPMorgan, Axis Capital, Morgan Stanley, Bank of America Securities and Citi are working on the deal.

LG Electronics' initial public offering plan comes after another South Korean firm, Hyundai Motors Company, listed its Indian arm, Hyundai Motor India, which was the country's biggest IPO at ₹27,856 crore.

LG Electronic India FY24 profit rises 12.3% to ₹1,511 crore

In the financial year 2024, LG Electronics reported a 12.35% increase in its net profit to ₹1,511.1 crore and revenue from operations rose 7.48% to ₹21,352 crores, PTI reported, citing financial data accessed by the business intelligence platform Tofler.

In FY23, post-tax profit and revenue stood at ₹1,344.9 crore and ₹19,864.5 crore, respectively.

The total tax expense jumped 11.36% year-on-year (YoY) to 526 crore, while total expenses grew 6.73% to ₹19,520 crore.

Its advertisement expenditure fell by 4.6% to ₹254.8 crore, while spending on sales promotion advanced 10.14% to ₹686 crore.

During the year under review, LG Electronics Inc's India unit generated foreign exchange earnings of ₹1,086.1 crore from exports.

"The Foreign Exchange outflow for Import of Goods & payment for services was Rs 8,654.4 crore & the Outflow on account of Royalty was Rs 375.5 crore," it said.

LG Electronics India is a formidable brand in the country that operates in various segments, including home appliances, consumer electronics, IT hardware and HVAC systems.