Subscribe for LG Electronics India Ltd IPO; Anand Rathi

Anand Rathi, LG Electronics India Ltd

LG Electronics India Ltd (LGEIL), incorporated 1997, is a wholly owned subsidiary of LG Electronics Inc., the global leader in the home appliances industry in terms of market share by revenue in CY2024. Leveraging the strong global reputation and technological expertise of its parent company, LGEIL has established itself as the leading player in India’s home appliances and consumer electronics market. The company enjoys the #1 market share across multiple key product categories, including washing machines, refrigerators, panel televisions, inverter air conditioners, and microwaves, based on market share (in terms of value) in the offline channel. The offline channel represents approximately 78% and 77% of the major home appliances and consumer electronics market (excluding mobile phones) in India for the 12 months ended December 31, 2024, and the six months ended June 30, 2025, respectively. This leadership position underscores LGEIL’s deep understanding of the Indian consumer market, product innovation, and distribution strength.

Valuation and Outlook

On the valuation front, based on annualized FY26 earnings, the company is seeking a P/E of 37.6 times, and a post-issue market capitalization of approximately Rs 7,73,801 million, making the issue appears to be reasonably priced. Looking at strong legacy brand recognition with market leadership across multiple consumer durables products along with inhouse production capacity among the peers in India making it giant in industry. Hence, we assign “Subscribe” rating for the issue.