LG India IPO Sees 37% Listing-Day Pop with Grey Market Premium

Strategic Insights -

LG Electronics India Ltd.'s initial public offering (IPO) is expected to have a strong listing-day performance, with its share price jumping by over a third in the grey market. As of 8:35 am, the company's share price was seen at Rs.1,562, a 37.02% premium over the IPO price of Rs.1,140, according to Investorgain. This grey market premium reflects the enthusiasm of traders for the company's stock, although it does not guarantee listing-day gains. The allotment status for the LG India IPO has been finalized, and investors can check their allotment status on the KFintech website. The IPO, which was subscribed 54 times, raised 4,39,311.40 crore from 65,06,683 applications.

Key Takeaways:

  • LG Electronics India Ltd.'s share price is expected to see a significant listing-day pop, with a grey market premium of Rs.422.
  • The allotment status for the LG India IPO has been finalized, and investors can check their status on the KFintech website.
  • The IPO was fully subscribed on the first day and garnered 54 times subscription on the second day.
  • The company plans to use the proceeds from the fresh issue to expand manufacturing capacity, enhance R&D, and set up new product lines in emerging categories.
  • LG India has reported FY25 revenue of Rs.29,600 crore and net profit of Rs.2,850 crore, with a double-digit growth trajectory in both its appliances and consumer electronics divisions.

Statistics:

  • Grey market premium: Rs.422 (37.02% premium over IPO price of Rs.1,140)
  • IPO subscribed: 54 times
  • Total amount raised: 4,39,311.40 crore
  • Application received: 65,06,683
  • IPO period: October 7-9
  • Refunds for unallotted investors: October 14
  • Credit of shares to demat accounts: October 15

Sources:

  • HT Digital Content Services (published by Hindustan Times)
  • LG Electronics India Ltd.
  • Investorgain
  • National Stock Exchange of India
  • KFintech