LG Electronics has acquired AppleMango, a South Korean developer of battery chargers for electric vehicles, as the race for all things electric vehicles heats up worldwide. The acquisition, made jointly with GS Energy, an operator of charging stations for electric cars, and GS Neotek, an IT provider, enables LG to capitalize on future business opportunities, the company said:†
“The electric car charging market is expected to grow rapidly due to the rising demand for more environmentally friendly vehicles,” said Paik Ki-mun, senior vice president of LG Electronics in a statement. “By leveraging our know-how and experience in the B2B sector, we will offer tailor-made, integrated vehicle charging solutions for diverse customers, improving the competitiveness of our existing customers and preparing us for future opportunities.”
LG Electronics acquired a 60% stake, while GS Energy and GS Neotek acquired 34% and 6% respectively in AppleMango, which will become a subsidiary of LG Electronics after the deal. The companies have not disclosed the financial terms of the deal. According to a message in the local mediathe purchase price is estimated at $7.8 million (KRW 10 billion).
The move comes nearly a year after LG Electronics shut down its loss-making mobile business to focus on its growth areas such as electric vehicles, the Internet of Things (IoT) and B2B solutions.
LG Electronics stands ready to leverage its expertise by creating user-friendly interfaces to make the EV charging experience in South Korea enjoyable and convenient for drivers. In addition, by moving into the EV charging business, LG can create more synergy between EV battery development, energy storage systems, energy management solutions and chargers, the company said.
The tech giant plans to set up an EV charger production line at South Korea’s LG Digital Park by the end of this year, aiming to provide customized EV charging solutions for private homes, shopping malls, hotels and public institutions. . While LG has not said whether it plans to continue selling AppleMango chargers, the acquired company will bring a wide range of technologies for EV charging solutions, from slow chargers to fast chargers for home and business use.
LG Electronics entered the EV industry in 2013 by founding the company LG Vehicle Component Solutions. It also acquired Austria-based automotive lighting company ZKW in 2018 to expand its EV business. It formed a joint venture with Magna International in December 2020 to produce e-motors, inverters and on-board chargers.