LG India taps Axis Capital for its upcoming $1.5B IPO
LG Electronics is pushing ahead with its plans to list its Indian unit, with Axis Capital Ltd. now being added to its list of financial partners for the upcoming initial public offering (IPO). The news comes after reports in September that LG had already roped in major international banks like Bank of America, Citigroup, JPMorgan Chase & Co, and Morgan Stanley. With Axis Capital on board, LG's team of arrangers for the mega share sale in Mumbai only gets stronger.
LG India eyes $13B valuation
While neither LG Electronics nor Axis Capital have officially commented on the matter, Bloomberg suggests that the stock sale could aim to raise between $1 billion and $1.5 billion. This would potentially push the valuation of LG Electronics India Pvt Ltd. to an impressive $13 billion, marking a significant milestone in the company's strategic expansion in India.
IPO part of strategic expansion in India
LG's move to go for an IPO in India isn't just a fundraising exercise. The company sees huge potential in India's fast-growing market and wants to cement its presence in one of the world's fastest-growing economies. The move comes as a part of a larger trend of global businesses looking to establish deeper roots in India, lured by the booming consumer market and favorable foreign investment regulatory environment.
Reflecting India's growing global economic influence
LG's IPO plans come as other companies such as Swiggy, HDB Financial Services Ltd, and Carraro SpA are also eyeing the Indian market for fresh capital and growth. This highlights India's growing influence on the global economic stage, with major players like LG betting on its future.
