The company’s US$1.3bil IPO was snapped up within hours of opening last week. — Reuters
MUMBAI: LG Electronics India surged 50.4% in its trading debut yesterday and valued the company at US$13.07bil, eclipsing its South Korean parent’s market capitalisation, as investors piled into the country’s most bid-for initial public offering (IPO) since 2008.
Shares of the Indian arm of LG Electronics rose to 1,714.90 rupees after it listed at 1,710.10 rupees on the National Stock Exchange of India. Its issue price was at 1,140 rupees.
The company’s US$1.3bil IPO was snapped up within hours of opening last week, drawing bids worth a staggering US$50bil, underscoring investor confidence in India’s consumer demand and manufacturing growth prospects.
The investor euphoria made it the most subscribed billion-dollar offering in nearly two decades, eclipsing interest seen in high-profile listings such as Life Insurance Corp of India’s US$2.7bil issue in 2022, and Paytm’s US$2.5bil debut and Zomato’s US$1.3bil flotation in 2021.
The company’s valuation was higher than its target of US$8.73bil and sets it ahead of its India-listed peers, with Whirlpool valued at about US$1.67bil, Voltas at US$5.16bil and Havells at US$10.42bil. — Reuters
