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LG CNS receives preliminary approval for 2025 IPO

Published: 03 Dec. 2024, 14:38

LG CNS logo [LG CNS]

LG CNS, the IT arm LG Group, has received preliminary approval for its stock market debut on Monday, with the listing expected in the first half of next year.

The approval comes less than two months after the provider submitted its preliminary evaluation for an initial public offering (IPO) on the country’s stock market on Oct. 4.

Established in 1987, LG CNS, 49.95 percent owned by LG affiliates, is the only unlisted major IT service company in Korea.

The company has seen a continuous uptrend in sales, reaching a record 5.1 trillion won ($3.64 billion) last year, up from 4.59 trillion won in 2022 and 3.83 trillion won in 2021.

Last year, the company's operating income stood at 373 billion won, growing from 317 billion in operating income in 2022 and 275 billion won in 2021.

Industry watchers estimate LG CNS’s market capitalization to hover around 7 trillion won, marking the biggest IPO deal within LG Group after that of LG Energy Solution, which was valued at 70 trillion won in 2022.

LG CNS had previously sought an IPO in 2022 but scrapped the plan due to the Covid-19 pandemic.

BY YONHAP, WOO JI-WON [[email protected]]