LG Electronics India, the Indian arm of the South Korean giant, is on the cusp of filing an updated draft red herring prospectus (UDRHP) for its highly-anticipated Rs 15,000 crore initial public offering (IPO) with the market regulator Sebi early next month, according to sources.
The company aims to hit the Dalal Street later the same month, with Chief Executive Cho Joo-wan scheduled to visit the country and attend the listing day event.
In response to FE’s query, a spokesperson of the company refused to comment on market speculation or rumors.
LG Electronics has already conducted roadshows to attract investors for the IPO. The company had received Sebi’s approval for the IPO in March this year.
The company will raise around Rs 15,000 crore through the IPO, which will be an offer for sale by its parent.
LG Electronics will be offering a 15% stake in the Indian unit.
Some experts have suggested that the company may raise money at a lower valuation, given the recent market volatility.
However, it will become clear only once the UDRHP is filed.
The IPO is expected to accelerate the company’s expansion into other countries in Asia and Africa, reducing its reliance on North America following the announcement of hefty tariffs on imports by the USA last week.
In a recent speech, Cho said, “We want to be a national brand in India. We’ll turn the market’s potential into reality.”
LG Electronics is also planning to break ground on its third consumer electronics plant in India at Sri City. Currently, the company operates two manufacturing factories in India – one in Noida and another in Maharashtra’s Ranjangaon.
It is a significant player in the country’s consumer durables market and rivals brands like Samsung, Voltas, and Whirlpool.
According to market estimates, the company controls 33.5% of the washing machine market here, 28.7% of the refrigerator sector, 25.8% of the TV market, and 19.4% of the air conditioner market.
In FY24, LG Electronics achieved its highest-ever revenue in India. The revenue from its Indian operations jumped 14.8% to $2.8 billion, according to the regulatory filings.
Its net profit in India surged 43.4% year-on-year.
LG is also planning to roll out an appliance rental service across the country.
This service was piloted at its exclusive stores last year, mainly to target premium customers.
“We plan to roll this out across our distribution network, which, we believe, will enable us to offer differentiated services, enhance consumer satisfaction, and drive sales,” the company said in its draft red herring prospectus.

In a recent speech, Cho Joo-wan stated, “We want to be a national brand in India. We’ll turn the market’s potential into reality.”
This ambitious goal is part of LG Electronics’ overall strategy to expand its presence in the country.
The company aims to achieve this goal by increasing its manufacturing capacity, enhancing its product offerings, and improving its distribution network.
In FY24, LG Electronics achieved its highest-ever revenue in India, with the revenue from its Indian operations jumping 14.8% to $2.8 billion.
Its net profit in India surged 43.4% year-on-year, demonstrating the company’s growing presence in the country.
LG Electronics is also planning to roll out an appliance rental service across the country.
This service was piloted at its exclusive stores last year, mainly to target premium customers.
“We plan to roll this out across our distribution network, which, we believe, will enable us to offer differentiated services, enhance consumer satisfaction, and drive sales,” the company said in its draft red herring prospectus.
LG Electronics is a significant player in the country’s consumer durables market.
It rivals brands like Samsung, Voltas, and Whirlpool.
According to market estimates, the company controls 33.5% of the washing machine market here, 28.7% of the refrigerator sector, 25.8% of the TV market, and 19.4% of the air conditioner market.
LG Electronics is planning to break ground on its third consumer electronics plant in India at Sri City.
The company operates two manufacturing factories in India – one in Noida and another in Maharashtra’s Ranjangaon.
LG Electronics is expected to accelerate its expansion into other countries in Asia and Africa.
The company is reducing its reliance on North America following the announcement of hefty tariffs on imports by the USA last week.
This strategic move is expected to help the company tap into new markets and increase its revenue.
The IPO is expected to provide LG Electronics with the necessary funding to support its growth plans.
The company is planning to raise around Rs 15,000 crore through the IPO.
LG Electronics will be offering a 15% stake in the Indian unit.
The IPO is expected to accelerate the company’s expansion into Asia and Africa.
Reducing reliance on North America following US tariffs