LG Electronics IPO postponed due to stock market volatility; what we know so far

The company was earlier planning to hit the primary market by the second week of May. However, it has been postponed by at least one quarter.

An LG Electronics spokesperson said that the firm is monitoring the market conditions and a decision will be taken after a proper valuation.

"The procedures for LGEIL's IPO are currently underway. The final decision on the listing will be made based on market conditions and other relevant factors. No definite plans have been confirmed at this time. We are closely monitoring the market and will consider a strategic timing that ensures a proper valuation of the company," he said.

LG Electronics India had received market regulator SEBI's nod in March to launch an IPO, which is pegged around ₹15,000 crore.

The proposed initial share sale is exclusively an offer for sale of 10.18 crore shares by promoter LG Electronics Inc, according to the draft red herring prospectus (DRHP). There is no fresh issue component.

As the issue is solely an OFS, the company will not get any proceeds from the public offer, and the money raised will go to the South Korean parent.

About LG Electronics India

LG Electronics India is among the leading players in India in the consumer electronics and home appliances segment. Its products are sold to both business to customer (B2C) and business to business (B2B) customers in domestic and international markets. It also offers installation and maintenance services for its products.

For the financial year ended March 2024, the company had posted a revenue from operations of ₹64,087.97 crore.