Shares of LG Electronics India surged over 50% on debut, making the home-appliance maker’s market capitalization cross $13 billion, surpassing that of its South Korean parent LG Electronics Inc., which stands at around $9.4 billion. This makes the Indian subsidiary nearly 40% more valuable than its global parent on listing day itself.
Investor enthusiasm was evident from the start, as the stock opened strong and touched an intra-day high of ₹1,749 on the NSE, compared with its issue price of ₹1,140. The strong debut also makes it the best first-day gain for an IPO raising at least ₹10,000 crore since Coal India’s 40% surge in 2010.
Notably, while peers like Maruti Suzuki and ITC took years to surpass their parent companies’ market capitalization, LG Electronics India achieved the milestone on day one.
Indian subsidiaries of global multinationals often trade at a premium, and LG Electronics India is no exception — with the stock priced at roughly 43 times one-year forward earnings, compared to its parent’s 8.4 times, according to Bloomberg data.
For the 12 months ending June 2025, LG Electronics Inc. reported a net profit of $476 million on $63.2 billion in revenue, with an EBITDA margin of 7.2%. By comparison, LG Electronics India earned a net profit of $248 million on $2.75 billion in revenue in FY25, reflecting higher profitability and strong investor confidence in India’s growing consumer market.
