LG Electronics India Achieves a Major Milestone with NSE Listing
LG Electronics India Marks a Significant Listing on the NSE
Company Shares Future Vision to Become a National Corporation of India
LG Electronics today announced the successful listing of its subsidiary, LG Electronics India Limited (LGEIL), on the National Stock Exchange of India (NSE). This landmark event signifies a pivotal move in LGEIL's aspiration to establish itself as a prominent national corporation in India, while underscoring its dedication as a long-term partner in fostering the nation’s economic growth.
The Grand Listing Ceremony
During a highly anticipated ceremony, LG announced its listing alongside a future vision strategy at the NSE, attended by notable figures including LG Electronics CEO William Cho and other esteemed guests. The atmosphere was electrifying as CEO Cho and NSE CEO Ashish Chauhan rang the ceremonial bell, symbolizing the commencement of trading for LGEIL shares.
Significant IPO Details
In the initial public offering (IPO), LG unveiled 15 percent of LGEIL's issued shares—totaling an impressive 101,815,859 shares—via an offer for sale. Priced optimally at INR 1,140 per share, the offering garnered immense interest, with subscriptions soaring to 54 times the total volume. Ultimately, this listing generated an impressive capital inflow of approximately USD 1.31 billion, or INR 116.05 billion.
Strengthening Local Presence
This milestone enables LGEIL to deepen its roots within the vibrant Indian market. The future appears promising as LG positions itself to cater to an expanding demographic characterized by increasing disposable incomes and a growing middle class, thereby driving demand for modern household appliances. Analysts predict that the share of Indian households classified within the middle-income segment—those earning between USD 6,000 and 36,000 annually—will leap from 29 percent in recent years to an anticipated 46 percent by 2030, highlighting a burgeoning market for LG's offerings.
Expanding Vision: Tailored for India
As part of this bold initiative, LG introduced its long-term vision, aiming to enhance its leadership in the region while fortifying its market position. With a booming population and an extensive consumer base, LG plans to customize strategies that align closely with local customer needs and preferences.
Make for India: Products that Resonate
The first pillar of LG’s vision, "Make for India," focuses on crafting products that resonate with the Indian lifestyle. Leveraging deep-rooted insights amassed over decades, LG aims to develop products with an ideal blend of affordability, culturally relevant features, and appealing designs. This strategy signifies LG’s commitment to further diversifying its India-centric product range.
Make in India: Emphasizing Local Manufacturing
The second tenet, "Make in India," underscores LG's commitment to align with India’s manufacturing momentum. LG has fortified a self-reliant local value chain encompassing research and development, production, and customer service. Besides its existing facilities in Noida and Pune, the company is channeling an investment of INR 50.01 billion into the establishment of a new factory in Sri City, which is predicted to create about 1,900 new jobs in the region.
Make India Global: A Strategic Intent
The final aspect, "Make India Global," aims to position the nation as a pivotal driver within LG's Global South strategy. This initiative strives to unearth growth opportunities within emerging markets, adapting rapidly to changing geo-economic situations. By doing so, LG seeks to facilitate India’s transition from a swiftly growing market into a recognized innovation, manufacturing, and talent hub.
Advancing Technology and Sustainability
By empowering local industries, enhancing value chains, and fostering technological advancements, LG aspires to enable India to present its brilliance on a global stage, characterized by advanced manufacturing, innovative R&D, technology exports, and sustainable development practices. Through this commitment, LG aims to grow alongside India, reinforcing its image as a reputable national company that embodies India’s potential on the world platform.
Building a Better Future Together
Beyond product development, LGEIL places great emphasis on after-sales service and the expansion of its Annual Maintenance Contract subscription programs, enhancing consumer relationships that persist well past initial purchase decisions. Simultaneously, LG is accelerating its ventures into future-oriented B2B sectors, providing advanced technologies tailored for commercial operations, including HVAC solutions and information display systems.
About LG Electronics, Inc.
LG Electronics is a trailblazer in technology and consumer electronics, operating internationally with a workforce exceeding 75,000 employees. Its diverse sectors—Home Appliance Solution, Media Entertainment Solution, Vehicle Solution, and Eco Solution—collectively generated over KRW 88 trillion in revenue in recent years. The brand is widely recognized for its premium product lines, including LG SIGNATURE and LG ThinQ, which resonate with consumers across the globe.
About LG Electronics India Ltd
Established in January 1997, LG Electronics India Limited specializes in a spectrum of consumer electronics and B2B solutions, spanning home appliances, media entertainment, and more. With manufacturing facilities located at Greater Noida and Ranjangaon, Pune, the company is equipped to produce an array of products, including LED TVs, air conditioners, and various home appliances.
Frequently Asked Questions
What does the listing on NSE signify for LG Electronics India?
The listing marks a significant milestone in LG Electronics India's growth strategy, enhancing its presence and commitment to the Indian market.
What percentage of shares were offered in the IPO?
LG Electronics offered 15 percent of LG Electronics India Limited's issued shares during the IPO.
What is LG's vision for the Indian market?
LG's vision includes tailoring products for Indian consumers, emphasizing local manufacturing, and positioning India as a key player in global markets.
How many jobs will the new factory in Sri City create?
The new facility is expected to create about 1,900 direct and indirect jobs in the region.
What is LG's commitment to after-sales service?
LG emphasizes enhancing after-sales services and expanding maintenance contracts to facilitate enduring customer relationships.
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