LG Electronics Inc. is exploring the possibility of launching an initial public offering (IPO) for its Indian operations as part of its strategy to achieve $75 billion in electronics revenue by 2030. This marks the first time the South Korean company, a major competitor to Samsung Electronics, has openly discussed a potential Indian market debut amidst ongoing speculation.
CEO William Cho, who took the helm in 2021, has outlined ambitious growth plans for LG, aiming to increase annual electronics revenue to 100 trillion won ($75 billion) by the end of the decade, up from approximately $65 billion in 2023. A key part of this strategy includes boosting enterprise sales, with a goal of generating 45% of revenue from business clients by 2030, compared to 35% currently.
Cho acknowledged that an IPO in India is one of several options under consideration to support the company’s growth objectives. “We are aware of the heightened interest among global investors,” Cho told Bloomberg Television, noting that while no decisions have been finalized, the company is closely monitoring the Indian market.
LG’s Indian subsidiary has shown strong performance, with revenue increasing 14% to a record 2.87 trillion won in the first half of this year, and net income rising 27% to 198.2 billion won. An IPO would align with the current boom in India’s capital markets, where nearly 189 companies are planning to raise $5.6 billion through share sales this year.
Beyond the IPO, LG is focused on expanding new business ventures, including heating, ventilation, and air-conditioning (HVAC) systems, which have seen a significant uptick in demand, particularly for AI data centers.
LG is also growing its subscription services for home appliances, which are gaining popularity in markets like Korea and are being introduced to other countries, including India. Cho’s international experience has been instrumental in shaping LG’s customer-centric approach and in developing new business models, which the company hopes will drive future growth and profitability.
