LG Electronics Inc (OTC:LGEJY) scooped South Korean electric vehicle (EV) charger solutions provider, AppleMango Co., Ltd., jointly with GS Energy and GS Neotek.
LG acquired a 60% stake while GS Energy and GS Neotek took over 34% and 6%, respectively, in AppleMango, which will become a subsidiary of LG Electronics, TechCrunch reports.
According to a local media report, the acquisition size is worth $7.8 million (10 billion KRW). The acquisition will likely accelerate the growth of LG's EV charging solution business.
Established in 2019, AppleMango has developed proprietary technologies and systems, including a slim, fast charger, to meet the rising global demand for EV charging solutions.
In addition to the company's charging tech, LG will secure access to the necessary operational infrastructure by working closely with GS Energy and GS Neotek.
LG aims to set up an EV charger production line at LG Digital Park in South Korea by 2022 for customized EV charging solutions for private residences, shopping malls, hotels, and public institutions.
LG is set to leverage its expertise in creating user-friendly interfaces to make the EV charging experience in South Korea pleasant and easy for drivers.
Additionally, by moving into the EV charging business, LG can create more synergy between its EV battery development, energy storage systems, energy management solutions, and chargers.
The move comes nearly a year after LG Electronics exited its loss-making mobile business to focus on growth areas like EVs, the internet of things (IoT), and B2B solutions.
Recently Tesla, Inc (NASDAQ:TSLA) supplier Contemporary Amperex Technology Co Ltd challenged Panasonic Holdings Corp's (OTC:PCRFY) EV batter meant for the EV maker.
CATL's battery which ranges over 1,000 kilometers (620 miles) on a single charge, claimed to be 13% more potent than Tesla's 4680 battery to be made by Panasonic.
Photo by Wikimedia Commons
