[Special Stock] LS Eco Energy, 15 Years of Soaring Power Demand... LS Group's Ultra-High Voltage Cable Production Hub

LS Eco Energy is showing strong performance. It appears that the outlook of sustained large-scale power demand for more than 15 years is influencing the stock price.

Recently, with the rapid increase in power demand due to the growth of power-based industries such as electric vehicles, artificial intelligence (AI), internet data centers (IDC), and semiconductors, power supply facility expansions are being carried out globally. The current situation, where the demand for submarine cables is increasing due to the expansion of offshore grid construction and offshore wind power projects driven by the growth of renewable energy, is described as a golden opportunity for LS Eco Energy.

The proportion of LS Eco Energy within the LS Group is also growing. LS Eco Energy is the first overseas ultra-high voltage cable production base of LS Cable & System, a major affiliate of LS. The plan is to create synergy between LS Cable & System’s research and development (R&D) and technological capabilities and LS Eco Energy’s raw material procurement and cost competitiveness in Vietnam. In fact, LS Eco Energy, together with LS Cable & System, has built a rare earth metal factory and established a supply chain system capable of producing permanent magnets. Additionally, it secured a large-scale rare earth oxide supply in Vietnam for the first time in the domestic industry.

As of 11:15 AM on the 30th, LS Eco Energy is trading at 41,250 KRW, up 5.36% from the previous day.

Lee Sang-ho, CEO of LS Eco Energy, stated on the day, "Large-scale power demand will continue globally for more than 15 years," and announced plans to increase sales by 2.5 times by 2030. He said that sustainable growth is possible as power infrastructure demand is surging due to the widespread adoption of artificial intelligence (AI).

LS Eco Energy plans to expand its power and communication cable business while fostering the rare earth permanent magnet business as a new growth engine. Through this, it aims to increase annual sales from 700 billion KRW last year to 1.8 trillion KRW by 2030, a 2.5-fold increase. Specifically, it plans to secure 200 billion KRW in rare earth sales by 2030, 1 trillion KRW from existing businesses such as cables, and about 600 billion KRW from the submarine cable factory.