LG Electronics Raises Nearly Rs 3,475 Crore From Anchor Investors Ahead Of Rs 11,607-Crore IPO

LG Electronics India Ltd. has raised nearly Rs 3,475 crore from anchor investors on Monday, ahead of its initial public offering. The company allotted 3.04 crore shares at Rs 1,140 apiece to 149 anchor investors.

SBI Large & Midcap Fund got the highest allocation of 4.6%, followed by INQ Holding LLC at 3.9%, Government Of Singapore at 3.4%, and Government Pension Fund Global at 3%. Marquee investors including Goldman Sachs and Blackrock Global Funds also bagged shares of the issue.

A total of 26 domestic mutual funds applied through 84 schemes, the electronics firm said in an exchange filing on Monday. They have collectively netted 48.9% of the anchor portion. These include mutual funds from the likes of SBI, Axis, Kotak Mahindra, HDFC, Nippon, Bandhan, Aditya Birla, Edelweiss, HSBC, and more.

Morgan Stanley India Co., JPMorgan India Pvt., Axis Capital Ltd., BofA Securities India Ltd. and Citigroup Global Markets India Pvt. are the bankers for the IPO.

The company is set to launch its initial public offering on Oct. 7 with the issue closing on Oct. 9 according to the company’s red herring prospectus. The IPO will only comprise offer for sale of up to 10.18 crore equity shares. The price band for the issue is set at Rs 1,080-1,140 per share. Through the IPO, the South Korean parent — LG Electronics Inc. — will offload 10.2 crore shares.