LG Electronics Enters Electric Vehicle Charging Solution Business... "Establishing Pyeongtaek Production Line This Year"

GS Energy Acquires 60% Stake in Domestic Specialist Apple Mango

Charger and Control Solution Business... Strengthening Electric Vehicle Portfolio

Executive Director Baek Gi-moon: "Providing Customer Solutions Based on Expertise and Know-How"

[Asia Economy Reporter Moon Chaeseok] LG Electronics is making a full-scale entry into the electric vehicle (EV) charging solution business by acquiring shares in a promising domestic EV charger specialist company.

On the 26th, LG Electronics announced that it recently signed a stock purchase agreement to acquire 100% of the shares of Apple Mango, an EV charger specialist company, together with GS Energy and GS Neotek. LG Electronics will secure 60% of the shares, and Apple Mango will be incorporated as a subsidiary of LG Electronics. GS Energy and GS Neotek will acquire 34% and 6% of the shares, respectively. Founded in 2019, Apple Mango possesses core technology for home and commercial EV chargers ranging from slow chargers to fast chargers. It has secured proprietary technology necessary for designing slim fast chargers that greatly enhance charger design and installation convenience.

Through this acquisition, LG Electronics will internalize its charger development capabilities. Within this year, it plans to establish an EV charger production line at LG Digital Park in Pyeongtaek, Gyeonggi Province, and expand supply to customers such as homes, shopping malls, hotels, and public institutions.

The joint acquisition with GS affiliates is also a strategic move to enhance business synergy. It is expected to help secure numerous touchpoints with charger users as well as extensive know-how in operating multiple charging stations. This will enable LG Electronics to instantly secure a stable supply source and sustainable growth engine for EV charging solutions. GS Energy is a company that has built a manufacturing and operation supply chain for chargers. Last year, GS Energy launched the EV charging service joint venture G-Connect with domestic charging operator GNTEL and has been steadily expanding its EV charging service business.

LG Electronics has accumulated charging control technology through its own research and development (R&D). With this acquisition, it will secure charger development capabilities and aims to become an integrated solution provider encompassing both software and hardware. Through B2C and B2B (business-to-consumer and business-to-business) businesses, LG Electronics has broadened its understanding of customers and spaces across various fields from homes to business spaces. Its globally recognized manufacturing, quality control, after-sales service, and supply chain management capabilities are also expected to contribute to fostering EV charging solutions. High commercial display technology, including ▲enclosure (waterproof, dustproof, and other stability features), ▲display (user-friendly UI/UX), and ▲control system (real-time monitoring and content management), is a driving force. By integrating energy business power management and heat dissipation technologies such as energy storage systems (ESS) and energy management solution Beacon (BECON), LG Electronics plans to supply differentiated charging solutions.

In addition to its automotive electronics businesses such as ▲VS Business Division (infotainment), ▲ZKW (lamps), and ▲LG Magna e-Powertrain (EV powertrain), LG Electronics is entering the EV charging solution business, building an optimized business portfolio for the future EV era. High synergy is also expected with the group’s battery business, which is anticipated to grow rapidly. The EV charging market is expected to grow rapidly due to the expansion of eco-friendly vehicle demand. The global EV charging infrastructure market is projected to grow from $55 billion (approximately 70 trillion KRW) next year to $325 billion (approximately 410 trillion KRW) by 2030.

LG Electronics began advanced development of EV charging solutions in 2018 within the CTO (Chief Technology Officer) division. In 2020, it supplied an integrated EV charging management solution to the Energy Plus Hub, a future-oriented gas station opened by GS Caltex in Seocho-gu, Seoul. The BS Business Division, responsible for B2B business, has been preparing for full-scale commercialization and strengthening related capabilities. Baek Gi-moon, Executive Vice President of LG Electronics, said, "In the rapidly growing EV charging market, we will provide customized integrated solutions that customers need based on the expertise and know-how of our B2B business."