LG Electronics India Surpasses South Korean Parent's Valuation With Spectacular 50 Per Cent Debut Surge On Listing Day

LG Electronics India achieved a remarkable milestone in its debut trading session, with shares surging 50 per cent to value the company at approximately $13 billion, surpassing its South Korean parent company's market capitalisation of $9. 68 billion.

The home appliances maker listed at Rs 1,710 on the National Stock Exchange on 14th October, significantly above the issue price of Rs 1,140.

The Indian unit has now notched a valuation around 40 per cent higher than its parent LG Electronics Inc, marking an extraordinary achievement for an Indian subsidiary on listing day itself.

The company's initial public offering is the most heavily subscribed major Indian IPO since 2008.

Qualified institutional buyers bid 166 times their allotted portion, whilst retail investors subscribed 3. 5 times their allocation.

The Rs 11,607 crore offering was entirely an offer for sale, with the parent company offloading a 15 per cent stake.

LG Electronics India joins Maruti Suzuki in eclipsing its parent's valuation, though Maruti took years to achieve this milestone.

The strong debut coincides with India's festive season and comes amid policy support including recent tax cuts on consumer goods such as refrigerators and televisions.

The company reported a 46 per cent year-on-year increase in net profit to Rs 2,203 crore in FY25, whilst revenue rose 14 per cent to Rs 24,367 crore.

India's electronics and appliances market is projected to almost double from about $75 billion in 2024 to roughly $130 billion to $150 billion by 2029, positioning LG Electronics India to benefit from significant growth tailwinds in the consumer durables sector.