LG Chem says it will split its battery business.

However, this is still a plan. The company held a board meeting on the 17th of September where they devised a corporate spin-off plan. Accordingly, the company plans to receive approval from its stockholders on October 30 and officially launch ‘LG Energy Solution (tentative)’ as a new corporation exclusively in charge of the battery business from December 1. “We came to the judgment that this is the right time for the corporate spin-off as the battery industry is growing rapidly and structural profits in the EV battery sector are being made in earnest,” the company states in a press release. “The corporate spin-off will make it possible to focus on the specialized business areas and enhance management efficiency, thereby upgrading corporate value and stockholder value,” the company continue. LG Chem plans to foster the new corporation to achieve sales of over KRW 30 trillion (EUR 21 billion) in 2024 and become the world’s best energy solutions company based on batteries. The expected revenue of the new corporation is around KRW 13 trillion (EUR 9.4 billion) this year. Regarding the IPO of the new corporation, it stated that “Nothing is confirmed as of now and we plan to continuously review it in the future.”