South Korea's LG Electronics is preparing to launch an initial public offer (IPO) of its Indian unit. LG Electronics India has filed a draft red herring prospectus (DRHP) with market regulator Securities Exchange Board of India i.e. SEBI for the IPO. This information is obtained from the notification of BSE.
According to a Moneycontrol report, LG Electronics India Pvt Ltd will raise around $180 billion i.e. Rs 15,237 crore from the IPO. This issue is an offer for sale, whereby Rs. 10.18 crore equity shares of face value of 10 will be sold. The company will not get any proceeds from the IPO.
It will be one of the top-5 largest IPOs ever in the country With the size of this issue, this public issue will be one of the top-5 largest IPOs in the country so far. DRHP lists Morgan Stanley, JP Morgan, Axis Capital, BofA Securities and Citigroup as lead managers of the issue.
LG India has set an electronics revenue target of $7,500 crore by 2030.
The IPO may come in early 2025 next year According to reports, this IPO could come next year as early as 2025. When the shares list after an IPO of around $180 billion, LG Electronics India Pvt Ltd could be valued at around $1300 crore.
The company's revenue target is $7,500 crore LG Electronics is bringing this IPO as a strategy, as the company has set an electronics revenue target of $7,500 crore by 2030 and is part of its efforts to get the consumer electronics business back on track. Company CEO William Cho said these things in an interview given to Bloomberg Television in August.
Image Credit: (Divya-Bhaskar): Images/graphics belong to (Divya-Bhaskar).
