South Korea-based LG Electronics has put a temporary hold on its initial public offering plans for LG Electronics India, citing stock market instability in India. The company, which manufactures consumer electronics and home appliances such as refrigerators and washing machines, was earlier targeting a valuation of up to USD 15 billion. As per recent reports, the expected valuation has now fallen to a range of USD 10.5 billion to USD 11.5 billion due to unfavorable market conditions.
South Korea’s LG Electronics has paused the initial public offering (IPO) process for its Indian subsidiary due to persistent volatility in the domestic equity market, according to a Bloomberg report. LG Electronics, known globally for its consumer electronics and home appliances, had earlier engaged in investor roadshows to gauge interest in a public listing of its India business.
The company, which has a significant presence in the Indian market through its Bengaluru-headquartered subsidiary, offers a range of products including refrigerators, washing machines, and air conditioners. It competes directly with other multinational brands such as Whirlpool and Samsung in India’s fast-growing home appliances sector.
Market conditions have led to a downward revision in the expected valuation of LG Electronics India, now projected between USD 10.5 billion and USD 11.5 billion — a steep drop from its earlier projection of up to USD 15 billion. According to Bloomberg, LG Electronics has informed its financial advisors that the IPO plan could be revived if the market environment becomes favorable again.
A Reuters report corroborated the development, noting that LG Electronics is still in the preparatory stages for the IPO, with the final decision to be guided by prevailing market trends and internal strategic considerations.
This decision comes at a time when the Indian capital markets are experiencing heightened volatility. The Nifty 50 index remains nearly 8% below its record high from September 2024. The broader uncertainty, influenced by global trade tensions and local economic indicators, has impacted IPO activities, including Ather Energy’s decision to scale down its own IPO target valuation by 44%.
Despite the delay, industry experts suggest that LG Electronics remains well-positioned in India’s consumer electronics segment, which consultancy firm RedSeer predicts will grow at an annual rate of 12% through 2029.
As of now, the timeline for LG Electronics India’s IPO remains undecided, with the company closely monitoring market developments.
