LG Corp., the holding company of Korea’s fourth-biggest conglomerate, on Friday inked a 100 billion-won ($88 million) investment deal with Kakao Mobility as part of efforts to discover new opportunities in future mobility.
Both sides did not reveal how much stake LG would acquire in the digital transportation service app operator with the latest deal.
LG said the investment was made as part of considerations to develop potential synergy between the conglomerate’s affiliates and the mobility firm in the field of future mobility solutions, including battery solutions for electric vehicles.
It was also made taking into account the principles of environmental, social and governance-conscious management, LG said.
LG and Kakao will further discuss developing the financial tie-up into a strategic partnership.
For example, the two parties could combine LG Energy Solution’s EV battery solutions with Kakao’s platform operation capabilities to pioneer a new sector of mobility.
“LG will raise its understanding of customers of mobility platforms through this investment, and create synergy with Kakao,” a company official said.
“The two companies will work together on fostering the domestic EV market ecosystem and make efforts to lead innovating mobility technologies,” a Kakao official said.
By Song Su-hyun (firstname.lastname@example.org