LG Electronics and LG Display Participate in Paid-in Capital Increase... Invest 494.1 Billion KRW

Total Investment Amount Increased to 3.974714 Trillion Won

LG Electronics will invest 494.1 billion KRW in LG Display's paid-in capital increase.

LG Electronics held a board meeting on the 18th and decided this, which was announced on the 19th.

Photo by Yonhap News

LG Electronics plans to invest a total of 494.091 billion KRW to acquire 51,737,236 shares. After participating in the capital increase, the total investment in LG Display will increase to 3.974714 trillion KRW.

Regarding this participation in the paid-in capital increase, LG Electronics explained that it is a "strategic decision to secure a stable supply of next-generation display panels necessary for securing future business competitiveness."

As of the end of the third quarter, LG Electronics' cash holdings stand at approximately 8.1 trillion KRW.

Previously, LG Display announced that it resolved at a board meeting the day before to conduct a shareholder allocation paid-in capital increase worth 1.36 trillion KRW. The issue price per share is 9,550 KRW, and a total of 142,184,300 new shares will be issued. The number of newly allocated shares per existing share is 0.3178989325 shares.

LG Display plans to invest 30% of the funds raised through the capital increase in small- and medium-sized OLED facility investments, 40% in operating funds such as raw material purchases for OLED product shipments, customer base expansion, and new product responses. Some of the funds will be used for debt repayment to strengthen financial stability.