LG Chem 22nd Annual General Meeting of Shareholders
"Securing New Drug Competitiveness through Abeo Acquisition"
Shin Hak-cheol, Vice Chairman of LG Chem, announced on the 28th, "We will restructure our business around three new growth engines: battery materials, sustainable solutions focused on eco-friendly materials, and new drugs."
At the LG Chem regular shareholders' meeting held at the LG Twin Towers in Yeongdeungpo-gu, Seoul, Vice Chairman Shin said, "We plan to invest 10 trillion won in the three new growth engine sectors by 2025 and nurture the sales of these businesses to around 30 trillion won by 2030."
Vice Chairman Shin Hak-cheol of LG Chem announcing the establishment of a cathode material factory at a commemorative ceremony held at the Tennessee State Capitol in the United States last November [Photo by LG Chem]
Vice Chairman Shin explained, "For battery materials, we aim to expand our customer base based on differentiated technology and securing local production bases in the U.S. and Europe. For the sustainable solutions business, we will focus on securing business capabilities in all areas such as recycling, bio-materials, and carbon reduction technologies to develop it as a core pillar of growth."
He added, "Regarding new drugs, we have taken the first step toward becoming a global pharmaceutical company through the acquisition of Aveo. We will successfully complete mergers and acquisitions (M&A) to secure competitiveness."
He also announced that the company has proactively raised its '2050 net-zero' carbon reduction target in response to strengthened carbon regulations. He said, "We have specified about 210 tasks to reduce 6.6 million tons, which is about 40% of the expected carbon emissions in 2030."
He continued, "We will expand the management scope not only to carbon emissions during the product manufacturing process (Scope 1 and 2) but also to carbon emissions during raw material extraction, production, and transportation (Scope 3). We will establish reduction measures to provide differentiated value to our customers."
Vice Chairman Shin stated, "LG Chem is a company that has successfully overcome the pandemic and has risen to third place in brand value among global chemical companies. Although the future business environment is expected to become more challenging, we will prepare for the future faster and more thoroughly than any other company."
At the shareholders' meeting, the agenda to appoint Professor Cheon Kyung-hoon of Seoul National University Law School as an outside director and audit committee member was approved. The approval of the 22nd term financial statements and the approval of the director remuneration limit were also passed as originally proposed.
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