NEW DELHI: LG Electronics, the South Korean electronic major, is reportedly eyeing to launch an initial public offering (IPO) for its Indian arm in the Indian capital market and has picked up banks for arranging the same. According to a report, LG could launch an IPO worth USD 1.5 billion at a valuation of USD 13 billion as early as next year.
LG has contacted banks such as Bank of America, Citigroup Inc, JPMorgan Chase & Co. and Morgan Stanley as arrangers for the IPO. The report stated that LG may seek to raise USD 1-1.5 billion from the initial share sale, which could give LG Electronics India Pvt Ltd a valuation of about USD 13 billion. The Co may file a prospectus with market regulator SEBI as early as next month.
LG, along with another Korean tech giant Samsung, is among the most established players in the domestic electric market and competes fiercely with a bunch of Japanese and Indian companies. For LG, India is its second-largest market globally after the US.
LG may raise $1-1.5 billion
LG may seek to raise USD 1-1.5 billion from initial share sale, which could give LG Electronics India a valuation of about USD 13 billion. The company may file a prospectus with market regulator SEBI as early as next month