LG Electronics India IPO opens: Check reviews from a 15 analysts for this ₹11,600 cr issue

The initial public offering (IPO) of LG Electronics opens for bidding on Tuesday, October 07, 2025. The electronics products player is offering its shares in the range of Rs 1,080-1,140 apiece and bids can be made a minimum of 13 equity shares and its multiples thereafter. The issue shall close for bidding on Thursday, October 09, 2025.

LG Electronics IPO is entirely an offer-for-sale (OFS) of up to 10,18,15,859 equity shares by its South Korean-parent LG Electronics Inc amounting to Rs 11,607 crore. The company will not receive any proceeds from the issue. Last heard, LG Electronics was commanding a grey market premium (GMP) of Rs 315-320 apiece, suggesting a 28 per cent listing pop for the investors.

Incorporated in 1997, New-Delhi-based LG Electronics India is a manufacturer and distributor of home appliances and consumer electronics, excluding mobile phones. It sells products to B2C and B2B consumers in India and outside India. The company also offers installation services, and repairs and maintenance services for all their products.

LG Electronics raised a total of Rs 3,474 crore from anchor investors as it allocated 3.04 crore equity shares at Rs 1,140 apiece. Its anchor book included names like Abu Dhabi Investment Authority, INQ holdings, Government of Singapore, Government Pension Fund Global, Goldman Sachs, Blackrock Global Funds, Fidelity Investment, HSBC and others.

LG Electronics India reported a net profit of Rs 513.26 crore with a revenue of Rs 6,337.36 crore for the three-months ended on June 30, 2025. It clocked a net profit of Rs 2,203.35 crore with a revenue of Rs 24,630.63 crore for the financial year 2024-25. The company shall command a market capitalization more than Rs 77,380 crore as of current valuation.

LG Electronics India has reserved 2,10,728 shares for its eligible employees, who will get a discount of Rs 108 per share. Of the net issue, 50 per cent shares will be reserved for qualified institutional bidders (QIBs), 15 per cent for non-institutional investors (NIIs) and 35 per cent shares for retail investors of the issue.

Morgan Stanley India Company, JP Morgan India, Axis Capital, BofA Securities India and Citigroup Global Markets India are the book running lead managers for LG Electronics IPO, while Kfin Technologies is the registrar of the issue. Its shares shall be listed on both BSE and NSE on Tuesday, October 14. Here's what a host of brokerage firms say about the IPO of LG Electronics:  

Chola Securities Rating: Subscribe Valuation remains attractive, with a post-issue P/E ratio of 35.12 times on FY25 PAT- well below industry averages- offering meaningful upside potential. The upcoming manufacturing facility in Andhra Pradesh by Q3FY27, focused initially on air conditioners, is expected to support rising consumer demand and enhance production capabilities, said Chola Securities.

"Post-issue promoter shareholding will be at 85 per cent, above SEBI’s minimum threshold, suggesting potential for future dilution. Overall, LG Electronics India combines market leadership, financial strength, and growth visibility, making it a compelling investment proposition. We have a 'subscribe' rating for LG Electronics IPO," it added.  

Centrum Broking Rating: Subscribe The IPO is offered at a reasonable valuation of P/E of 35x FY25 EPS (vs peers who are trading at a much higher multiples, said Centrum Broking. "We believe the IPO is priced reasonably, considering the company's leadership position, strong brand image, global parent support, largest distribution network and manufacturing strength. We assign 'subscribe' rating to the IPO," it said.  

Arihant Capital Markets Rating: Subscribe for long-term LG Electronics' IPO comes amid heightened momentum in the Indian consumer durables sector and robust domestic consumption trends. Its dominant market position across key product verticals—supported by widespread distribution, growing local manufacturing, and a capital-efficient, debt-free balance sheet—provides strong levers for growth and margin resilience, said Arihant Capital.

The IPO is attractively priced, backed by industry-leading return ratios and expanding profitability metrics. However, key factors to monitor include execution risks related to the new Andhra Pradesh plant, intensity of competition, and raw material cost fluctuations, though LG’s brand equity and operational track record mitigate many of these sectoral headwinds," it added with a 'subscribe for long-term' rating.  

Anand Rathi Shares & Stock Brokers Rating: Subscribe for long-term LG Electronics India leadership in India’s home appliances and consumer electronics industry is driven by a combination of its strong brand equity, pioneering innovation, extensive distribution reach, robust manufacturing infrastructure, and long-standing supplier relationships all backed by the global strength and technological capabilities of LG Electronics Inc, said Anand Rathi.

On the valuation front, based on annualized FY26 earnings, it is seeking a P/E of 37.6 times, making the issue appears to be reasonably priced. Looking at strong legacy brand recognition with market leadership across multiple consumer durables products along with in house production capacity among the peers in India making it a giant in industry," it said with a 'subscribe for long-term' tag.  

ICICIDirect Research Rating: Subscribe LG Electronics India has proven its ability to leverage the strong brand, technical knowhow and execution abilities as reflected in its strong market share across product categories. It has a cash rich balance sheet with superior margin and return-ratios, said ICICIDirect Research.

"Further, the company continues to invest growth capital to cater to under-penetrated domestic home appliance and consumer electronic products along with positioning for export opportunity. All these factors coupled with MNC parentage makes the issue attractively priced. Thus, we assign 'subscribe' rating on LG Electronics IPO," it added.

SBI Securities Rating: Subscribe LG Electronics India is one of the largest home appliance and consumer electronics companies in India, with market leadership across multiple product categories. Further, it has one of the largest in-house production capabilities among peers in India making it a giant in the industry, said SBI Securities.

"Its robust revenue, Ebitda and PAT CAGR of 10.8 per cent, 28 per cent and 27.8 per cent respectively during FY23-FY25 portrays its financial prowess. The issue is valued at a P/E multiple of 35.1 times based on the post-issue capital. When compared to its closest peers, it outshines them in most valuation parameters with superior return profile," it said with a 'subscribe' rating.  

Choice Broking Rating: Subscribe India’s home appliances and consumer electronics market is expected to grow to Rs 10,965 billion by CY29, driven by a rising middle class, premiumization, and urbanization. The B2B segment, valued at Rs 515 billion in CY24, is projected to grow at a 14 per cent CAGR, with the company expanding into HVAC, LED solutions, and electronic blackboards, focusing on energy efficiency and system integration, said Choice Broking.

"LG India is valued at a P/E of 38 times and EV/Sales of 3 times, trading at a discount to its industry peers. Given its market leadership, strong brand, robust growth prospects, and strategic expansion into high-potential B2B segments, the company is well-positioned to benefit from rising demand. Thus, we recommend a 'subscribe' rating," it added.  

Dolat Capital Rating: Subscribe "It has the highest margins among leading consumer home appliance and electronics players. It is well poised to benefit from the recent GST rate rationalization in AC,TV, Dishwashers which will increase affordability. Amidst stiff competition from other global and Indian players in this space, market share retention remains a challenge," said Dolat Capital with 'subscribe' rating citing its attractive pricing.  

Ventura Securities Rating: Subscribe LG Electronics India operations are supported by its parent company, LG Electronics Inc., which provides technological expertise and global brand recognition in exchange for royalty. It leverages strong distribution channels, including direct sales, online platforms, and a network of dealers, said Ventura Securities.

"LG Electronics India reported consistent growth in revenue, reflecting its strong market position in the consumer electronics and home appliances segments. Despite this growth, the company faces margin pressures due to intense competition in the Indian market. Its balance sheet remains stable, though there is reliance on imported components and global supply chains," it said with a 'subscribe' tag.

GEPL Capital Rating: Subscribe LG Electronics has an installed capacity of 1.45 crore products at Pune and Noida manufacturing facilities, said GEPL Capital. "We believe that the issue is fairly valued compared to its peers, market leader across multiple product categories, strong parentage, and robust manufacturing capabilities with localized supply chain. We recommend a 'subscribe' rating for the issue," it said.  

Adroit Financial Services Rating: Subscribe for long-term Premium products such as large TVs and refrigerators are growing faster than smaller sizes and with India’s current premium segment contributing roughly 17 per cent of sales currently, it is expected that the premium segment will reach 25-27 per cent by FY29. LG has positioned itself strongly to benefit from this premiumization and has recently launched new premium TV products, said Adroit.

"To meet rising domestic demand and explore export opportunities, the company has invested in a third manufacturing facility in Sri City, operational from last quarter of CY26, which will manufacture all products, including compressors. Therefore, it is recommended to 'subscribe' to the IPO for the long-term investment, considering its growth potential and valuations," it said.  

Aditya Birla Money Rating: Subscribe LG Electronics is a market leader with leading market share across product categories. Leveraging its technological innovations, decades of operations which enable better understanding of consumer behaviour & navigating change of preferences along with band loyalty & value are all the factors that will command valuations, said Aditya Birla Money with a 'subscribe' rating.  

Canara Bank Securities Rating: Subscribe for long-term LG Electronics operates with vertically integrated manufacturing capabilities, ensuring better control over quality and costs. It benefits from an extensive distribution and after-sales service network spread across India, strengthening customer reach and loyalty, said Canara Bank Securities.

It gains significant technological and brand support from its parent, LG Electronics Inc., enhancing innovation and competitiveness. However, dependency on the parent company exposes it to related-party and regulatory risks. Its market leadership, operational scale, and profitability make it suitable for long-term investors, warranting a 'subscribe for long-term” recommendation.  

BP Equities Rating: Subscribe With strong operational metrics, an expanding product portfolio, and strategic initiatives aimed at both B2C and B2B segments, LG Electronics is well-positioned to sustain growth, strengthen profitability, and create long-term growth in India’s dynamic home appliances and consumer electronics market, said BP Equities. "We recommend a 'subscribe' rating for this issue," it said.  

SMIFS Rating: Subscribe "We recommend subscribing to the issue as a long term investment, backed by LG Electronics’ dominant market share in India, robust financials versus peers, strategic future Andhra Pradesh capex, expansion of B2B/B2C networks, and diversified revenue streams poised for sustainable growth," said SMIFS.  

Lakshmishree Investments & Securities Rating: Subscribe LG Electronics India's strategic focus is on accelerating high-margin growth by emphasizing premium products, the B2B segment, and new recurring revenue streams, supported by its vast, localized manufacturing and distribution ecosystem, said Lakshmishree Investments.

"We recommend that investors seeking exposure to a market-dominant, financially sound company poised for sustainable, long-term growth in the Indian consumption story consider 'subscribe for a medium-to-long-term' perspective," it added.