[Asia Economy Reporter Hyunseok Yoo] Samki Automotive announced on the 19th that it signed a new contract worth 138.6 billion KRW for battery parts for an electric vehicle dedicated platform through LG Chem the previous day.
This contract is for end-plate parts for electric vehicle batteries, continuously ordered through LG Chem. The expected sales scale is 138.6 billion KRW. The supply period starts in February 2021 and is planned to continue until 2031, according to the person in charge.
The company's disclosure officer explained the reason for not disclosing the 'single sales and supply contract conclusion' through the Korea Exchange despite the contract amount being a large-scale contract equivalent to 46% of last year's sales: "The supply timing and amount change depending on the circumstances of the automobile market and manufacturers in contracts with automakers."
Article 6, Paragraph 1, Subparagraph 1, Item (da) of the KOSDAQ Market Disclosure Regulations states that disclosure is required "when a single sales or supply contract exceeding 10% of the sales amount of the most recent business year is concluded or terminated." Typically, supply contracts with automakers are based on a basic contract, and deliveries are made according to monthly or weekly purchase orders, so supply quantities may increase or decrease. Since the disclosure timing is based on the submission of individual purchase orders, the company explains that the supply contract has not been disclosed.
A company official explained, "As the electric vehicle market environment continues to change, the supply volume for European premium brand automakers has significantly increased from the previous order amount of 84.1 billion KRW to the current 168.8 billion KRW, and the total order volume continues to grow."
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