LG Electronics has acquired AppleMango, a South Korean developer of electric vehicle battery chargers, as the race to produce everything electric vehicle-related increases globally. The acquisition, made together with GS Energy, an EV charging station operator, and GS Neotek, an IT supplier, will allow LG to capitalize on future business opportunities, the company said.
“The EV charging market is expected to grow rapidly due to rising demand for more environmentally friendly vehicles,” said Paik Ki-mun, Senior Vice President of LG Electronics. “Leveraging our know-how and experience in the B2B sector, we will provide customized, integrated vehicle charging solutions to diverse customers, enhancing the competitiveness of the present and ensuring We are ready for future opportunities.”
LG Electronics acquired a 60% stake while GS Energy and GS Neotek hold 34% and 6% respectively in AppleMango, which will become a subsidiary of LG Electronics following the acquisition. The companies did not disclose the financial terms of the deal. Based on a local media reportthe size of the acquisition is estimated at $7.8 million (KRW 10 billion).
The move comes nearly a year after LG Electronics shut down its loss-making mobile business to focus on growth areas such as electric vehicles, the Internet of Things (IoT) and B2B solutions.
LG Electronics is ready to leverage its expertise in creating user-friendly interfaces to make the EV charging experience in Korea enjoyable and easy for drivers. Additionally, by moving into the EV charging business, LG can create more synergy between the development of EV batteries, energy storage systems, energy management solutions and chargers, the company said. .
The tech giant plans to set up an EV charger production line at LG Digital Park, South Korea later this year, to provide customized EV charging solutions for private residences, malls shopping, hotels and public institutions. Although LG did not say whether it intends to continue selling AppleMango chargers, the acquired company has brought to the deal a wide range of EV charging solution technologies, from slow chargers to fast chargers. for residential and business.
LG Electronics entered the electric vehicle industry in 2013 by establishing LG Vehicle Components Solutions company. It also acquired Austria-based automotive lighting company ZKW in 2018 to expand its electric vehicle business. It formed joint venture with Magna International in December 2020 to manufacture electronic motors, inverters and accumulators.