Samyag

Corporate Actions

Back

LG Electronics India slips after three-month lock-in expiry

08-Jan-26 14:30 Hrs IST

Around 1.52 crore shares, or nearly 2% of the company's outstanding equity, have reportedly become eligible for trading following the end of the lock-in. Market participants noted that the expiry does not necessarily signal immediate selling, as it merely permits these shares to be traded.

The stock's decline comes amid heightened investor caution typically seen around lock-in expiries, as additional free float can weigh on sentiment in the near term.

Meanwhile, LG Electronics India concluded an Advance Pricing Agreement (APA) with the Central Board of Direct Taxes on 5 January 2026, resolving transfer pricing matters for a nine-year period from 1 April 2014 to 31 March 2023.

Following the APA, contingent liabilities of Rs 172.44 crore related to direct taxes and Rs 315.30 crore linked to royalty payments to LG Electronics Inc. will become nil.

The settlement will result in a net tax expense of Rs 17.71 crore, excluding applicable interest. In addition, the company will pay Rs 3.86 crore to LG Electronics Inc. under secondary adjustment provisions in line with India's transfer pricing regulations.

LG Electronics India, a subsidiary of South Korea-based LG Electronics, is one of India's leading consumer durables companies. It manufactures and sells a wide range of products, including TVs, refrigerators, washing machines, and air conditioners, serving both retail and institutional customers.

The company's standalone net profit declined 27.3% to Rs 389.43 crore despite 1% increase in revenue from operations to Rs 6,174.03 crore in Q2 FY26 over Q2 FY25.

The stock was listed on the exchanges on 14 October 2025 at Rs 1,715, marking a premium of 50.44% over the issue price of Rs 1,140. The initial public offering of LG Electronics India was subscribed 54.02 times. The issue opened for subscription on 7 October 2025 and closed on 9 October 2025, with a price band of Rs 1,080 to Rs 1,140 per share.

At the current price, the stock is up 25.46% over its IPO price of Rs 1,140, but down 16.61% from its listing price of Rs 1,715.

Powered by Capital Market - Live News

Attention Investors: Stock Brokers can accept securities as margin from clients only by way of pledge in the depository system w.e.f. September 1, 2020. || Update your mobile number & email Id with your stock broker/depository participant and receive OTP directly from depository on your email id and/or mobile number to create pledge. || Pay 20% upfront margin of the transaction value to trade in cash market segment. || Investors may please refer to the Exchange's Frequently Asked Questions (FAQs) issued vide circular reference NSE/INSP/45191 dated July 31, 2020 and NSE/INSP/45534 dated August 31, 2020 and other guidelines issued from time to time in this regard. || Check your Securities /MF/ Bonds in the consolidated account statement issued by NSDL/CDSL every month.|| KYC is one time exercise while dealing in securities markets - once KYC is done through a SEBI registered intermediary (broker, DP, Mutual Fund etc.), you need not undergo the same process again when you approach another intermediary.|| No need to issue cheques by investors while subscribing to IPO. Just write the bank account number and sign in the application form to authorise your bank to make payment in case of allotment. No worries for refund as the money remains in investor's account.