A
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`B
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`LG Corp. (KOSE:A003550) > Key Developments
`
`Report Criteria
`Keyword:
`LG Electronics
`Selected Categories: Announced/Completed Transactions, Bankruptcy Updates, Company Forecasts and Ratings, Corporate Structure Related, Customer/Product Related, Dividends/Splits,
`Time Frame:
`All Events
`Include Key Developm Current Subsidiaries
`
`Key Developments
`Date
`Apr-26-2018
`
`Company
`LG Corp. (KOSE:A003550)
`
`Exchange:Ticker
`KOSE:A003550
`
`Type
`M&A Transaction Announcement
`
`Headline
`LG Electronics Inc. (KOSE:A066570) and LG
`Corp. (KOSE:A003550) agreed to acquire
`ZKW Holding for €1.4 billion.
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`Aug-29-2017
`
`Zizala Lichtsysteme GmbH
`
`May-01-2013
`
`LG CNS Co., Ltd.
`
`Apr-24-2013
`
`LG CNS Co., Ltd.
`
`-
`
`-
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`-
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`M&A Rumors and Discussion
`
`LG Bids For ZKW
`
`M&A Transaction Closing
`
`LG Electronics Inc. (KOSE:A066570)
`completed the acquisition of V-ENS Co., Ltd.
`from LG CNS Co., Ltd.
`
`M&A Transaction Announcement
`
`LG Electronics Inc. (KOSE:A066570) agreed
`to acquire V-ENS Co., Ltd. from LG CNS Co.,
`Ltd. for KRW 17 billion.
`
`Jun-28-2012
`
`LG Corp. (KOSE:A003550)
`
`KOSE:A003550
`
`M&A Transaction Closing
`
`LG Electronics Inc. (KOSE:A066570), LG
`Corp. (KOSE:A003550) and LG Chem, Ltd.
`(KOSE:A051910) acquired 51% stake in Rolls-
`Royce Fuel Cell Systems (US), Inc. from Rolls
`Royce Holdings plc (LSE:RR.) for $45 million.
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`Oct-07-2010
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`LG CNS Co., Ltd.
`
`-
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`Private Placement
`
`Cheongna IBT Co., Ltd announced that it
`expects to receive KRW 129.27 billion in
`funding from a group of investors.
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`Sep-17-2010
`
`LG Corp. (KOSE:A003550)
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`KOSE:A003550
`
`M&A Rumors and Discussion
`
`LG Denies Plan To Acquire Hynix
`
`Jan-06-2006
`
`LG Corp. (KOSE:A003550)
`
`KOSE:A003550
`
`Business Expansion
`
`LG Group Plans to Increase its Investment in
`New Technology and Facilities
`
`Aug-02-2005
`
`LG Corp. (KOSE:A003550)
`
`KOSE:A003550
`
`Seeking to Sell/Divest
`
`LG Units' Shares Fall on Speculation
`Sovereign Will Sell Stakes
`
`Feb-18-2005
`
`LG Corp. (KOSE:A003550)
`
`KOSE:A003550
`
`Private Placement
`
`Announced Private Placement Transaction -
`Target: LG Corp.; Investor(s): Sovereign Asset
`Management Limited
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`Jan-26-2004
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`LG Corp. (KOSE:A003550)
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`KOSE:A003550
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`Business Expansion
`
`LG Group to Invest 9.4 Trillion in Facility
`Upgrades and Research & Development
`Project
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`Jul-07-1999
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`LG Corp. (KOSE:A003550)
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`KOSE:A003550
`
`M&A Transaction Closing
`
`Hyundai Electronics Industries Co Ltd
`completed the acquisition of 58.98% in LG
`Semicon Co., Ltd.
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`May-20-1999
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`LG Corp. (KOSE:A003550)
`
`KOSE:A003550
`
`M&A Transaction Announcement
`
`Hyundai Electronics Industries Co Ltd signed a
`memorandum of understanding to acquire
`58.98% in LG Semicon Co., Ltd. for
`approximately KRW 2.6 trillion.
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`Investor Activism, Listing/Trading Related, Potential Red Flags/Distress Indicators, Potential Transactions, Results Announcements/Corporate Communications, Transaction Updates
`
`Other Parties
`LG Electronics Inc.
`(KOSE:A066570), ZKW
`Holding GmbH
`
`Situation
`LG Electronics Inc. (KOSE:A066570) and LG Corp. (KOSE:A003550) agreed
`to acquire ZKW Holding from Ulrich Mommert for €1.4 billion on April 26,
`2018. Under the terms of the transaction, LG Electronics will acquire a 70%
`stake in ZKW Holding for €1.1 billion with parent company LG Corp.
`purchasing the remaining 30% for €330 million. ZKW Holding reported
`revenues of €1.26 billion in 2017. ZKW Holding will continue to be managed
`by the current team led by Chief Executive Officer Oliver Schubert, who will
`be responsible for all operations around the world. The corporate
`headquarters of the ZKW Group will remain in Austria. ZKW Group will
`remain self-sufficient in its decisions and actions within the LG Group.
`Production in Austria will remain unchanged for at least five years. The ZKW
`brand is to be retained as well as the two domestic locations in Wieselburg
`and Wiener Neustadt, in which 3,500 employees are employed.
`
`The transaction is subject to clearance by the respective cartel authorities.
`The Board of Directors of LG Electronics and the supervisory board of ZKW
`Holding GmbH approved the acquisition. Jochen Tyrolt, Christian Cascante,
`Johannes Schrägle, Maike Sauter, Markus Martin, Jan Stenger, Sava
`Kasaliyski, Michael Ilter, Stephan Dangelmayer, Olaf Hohlefelder, Christian
`Arnold, Thomas Winzer, Tobias Abend, Achim Dannecker, Michael Rudolf,
`Hanna Datzer, Konrad Grünwald, Moritz Holm-Hadulla, Dominik Braun,
`Andreas Schüssel, Vanessa Gehle, Herwig Lux, Christopher Noll, Helge
`Kortz, Andrea Leufgen, Florian Wagner and Christiane Freytag of Gleiss Lutz
`and Andreas Mayr, Christoph Brogyányi, Florian Nikolai, Clemens Burian and
`Julia Haunold of Dorda Brugger acted as legal advisors to Ulrich Mommert.
`
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`LG Electronics Inc.
`(KOSE:A066570)
`
`LG Electronics Inc.
`(KOSE:A066570), V-ENS Co.,
`Ltd.
`
`LG Electronics Inc.
`(KOSE:A066570), V-ENS Co.,
`Ltd.
`
`Rolls-Royce Holdings plc
`(LSE:RR.), LG Electronics Inc.
`(KOSE:A066570), LG Chem,
`Ltd. (KOSE:A051910), LG Fuel
`Cell Systems Inc.
`
`LG Electronics Inc. (KOSE:A066570) has reportedly submitted a bid for Zizala
`Lichtsysteme GmbH. According to Korea Economic Daily, LG has been
`reportedly preparing for the $1.2-billion acquisition for 1.5 years. The
`preferred buyer will be likely determined by September, 2017. Neither LG nor
`ZKW were available for comments.
`LG Electronics Inc. (KOSE:A066570) agreed to acquire V-ENS Co., Ltd. from
`LG CNS Co., Ltd. for KRW 17 billion on April 23, 2013. LG Electronics will
`acquire 1.04 million shares of V-ENS Co., Ltd. V-ENS Co., Ltd reported sales
`of KRW 109.78 billion, net loss of KRW 659.4 million, total assets of KRW
`55.09 billion and total stockholders' equity of KRW 11.56 billion for the year
`ending December 31, 2012. The Board of Directors passed a resolution for
`the transaction on April 23, 2013 and the transaction is expected to close on
`May 1, 2013.
`
`LG Electronics Inc. (KOSE:A066570) completed the acquisition of V-ENS
`Co., Ltd. from LG CNS Co., Ltd. on May 1, 2013.
`LG Electronics Inc. (KOSE:A066570) agreed to acquire V-ENS Co., Ltd. from
`LG CNS Co., Ltd. for KRW 17 billion on April 23, 2013. LG Electronics will
`acquire 1.04 million shares of V-ENS Co., Ltd. V-ENS Co., Ltd reported sales
`of KRW 109.78 billion, net loss of KRW 659.4 million, total assets of KRW
`55.09 billion and total stockholders' equity of KRW 11.56 billion for the year
`ending December 31, 2012. The Board of Directors passed a resolution for
`the transaction on April 23, 2013 and the transaction is expected to close on
`May 1, 2013.
`LG Electronics Inc. (KOSE:A066570), LG Corp. (KOSE:A003550) and LG
`Chem, Ltd. (KOSE:A051910) acquired 51% stake in Rolls-Royce Fuel Cell
`Systems (US), Inc. from Rolls Royce Holdings plc (LSE:RR.) for $45 million in
`cash on June 28, 2012. The acquisition includes Rolls-Royce Fuel Cell's
`headquarters and laboratory on the campus of Stark State College. Post
`acquisition, Rolls-Royce Fuel Cell Systems will be known as LG Fuel Cell
`Systems. Chung In-Jae, currently the Executive Vice President of LG
`Electronics, will be serving as Chief Executive Officer of LG Fuel Cell
`Systems.
`
`LG Electronics Inc. (KOSE:A066570), LG Corp. (KOSE:A003550) and LG
`Chem, Ltd. (KOSE:A051910) completed the acquisition of 51% stake in Rolls-
`Royce Fuel Cell Systems (US), Inc. from Rolls Royce Holdings plc (LSE:RR.)
`on June 28, 2012.
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`Cheongna IBT Co., Ltd announced that it will raise KRW 129,270,000,000 on
`October 7, 2010. The company will issue 12,927,000 common shares at
`KRW 10,000 per share in the transaction. The payment date is October 29,
`2010. POSCO Engineering & Construction Co., Ltd. will subscribe to
`1,943,700 shares, Lotte Engineering & Construction Co., Ltd., Doosan
`Construction & Engineering Co., Ltd., and Ssangyong Engineering &
`Construction Co., Ltd. will subscribe to 1,023,000 shares each, Samwhan
`Corp., Kolon Engineering & Construction Co., Ltd., Halla Engineering &
`Construction Corporation, KCC Engineering & Construction Co., Ltd.,
`Shinsegae Engineering & Construction C., Ltd. , and Seohee Construction
`Co., Ltd. will subscribe to 869,550 shares each, Woori Investment &
`Securities Co., Ltd. will subscribe to 1,457,000 shares, Korits Co. Ltd. will
`subscribe to 310,000 shares, LG Electronics Inc. and LG CNS Co., Ltd. will
`subscribe to 465,000 shares each in the transaction.
`
`On October 15, 2010, the company changed the payment date of the
`transaction. Now the payment date will be before the initial start date of
`construction work.
`
`LG Electronics Inc.
`(KOSE:A066570), Samwhan
`Corporation, Seohee
`Construction Co., Ltd.
`(KOSDAQ:A035890), Kolon
`Global Corporation
`(KOSE:A003070), Ssangyong
`Engineering & Construction
`Co., Ltd., Koritsu Co.,Ltd.,
`POSCO Engineering &
`Construction Co., Ltd., Lotte
`Engineering & Construction
`Co., Ltd., Halla Corporation
`(KOSE:A014790), Shinsegae
`Engineering & Construction
`Inc. (KOSE:A034300), Doosan
`Engineering & Construction
`Co., Ltd. (KOSE:A011160),
`KCC Engineering &
`Construction Co., Ltd.
`(KOSDAQ:A021320), NH
`Investment & Securities Co.,
`Ltd., Investment Arm,
`Cheongna IBT Co., Ltd.
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`Electronics Inc.
`(KOSE:A066570), SK hynix,
`Inc. (KOSE:A000660)
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`
`LG Corp stated that it does not plan to acquire Hynix Semiconductor Inc. The
`company refuted market speculation that it will join the bidding race to acquire
`a major stake in Hynix. Shares of LG soared 6.64% on expectations that LG
`Electronics Inc may invest in Hynix after LG named a new chief executive.
`Chung Sang-kook, Executive Vice President of LG’s corporate
`communications said: “LG Electronics has no interest in Hynix and will not
`change its current stance even under the new CEO. Market participants are
`saying the former LG Electronics CEO Nam Yong's resignation has ignited
`hopes for LG to invest in Hynix. But this is untrue.” He added that a decision
`on whether to acquire Hynix or not would be made by LG, not LG Electronics.
`He said: “LG Electronics will focus more on strengthening its competitiveness
`especially in smart phones, as well as flat-screens. LG has no time to seek
`big acquisition deals such as the Hynix one.” According to Chung Sang-kook,
`LG has been receiving proposals from Hynix creditors to acquire a 15.9%
`stake, despite LG’s Chairman Koo and the new LG Electronics CEO having
`already reached a consensus that they will not acquire Hynix. Creditors of
`Hynix including Korea Exchange Bank (KEB) still hold a 15.9% stake in Hynix.
`The banks are in the process of finding “the right buyer” for the entire stake in
`Hynix. The stake is worth about KRW 3 trillion including a management
`premium. Shares of LG Electronics rose 4.7% to KRW 102,500.
`
`LG Group plans to increase its investment in new technology and facilities
`this year by 20% to help stoke growth over the long term. It will invest KRW
`3.2 trillion in research and development activities and KRW 7.3 trillion in
`facilities. Both investments reflect a 20% rise from last year. Most of the funds
`are to be used to develop savvier new technology at its flagship companies,
`LG Electronics Inc. and LG Chem Co.
`
`Shares of LG Electronics Inc. and LG Corp. fell after Sovereign Asset
`Management Ltd. changed the purpose of its investment in the LG Group
`units, triggering speculation the fund will sell the holdings. Sovereign
`reclassified the purpose of its stakes in LG Electronics and LG Corp. to
`"simple" investments from "management participation," according to
`regulatory filings in Seoul. According to analysts, Sovereign is probably going
`to sell its stake in the companies.
`LG Corp. announced that Sovereign Asset Management has invested an
`aggregate of WON 1 trillion (US $975 million) for a 5.46% stake in the
`company and a 5.7% stake in LG Electronics. The conversion was mentioned
`in PR Newswire dated February 18, 2005.
`
`On February 18, 2005, LG Corp. completed the transaction.
`
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`(KOSE:A066570), Sovereign
`Global
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`Sovereign Global
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`LG Group announced that it plans to invest 9.4 trillion won ( $8 billion) in
`facility upgrades and research and development projects this year, up 31
`percent from 2003. LG also announced that its affiliates, including home
`appliance maker LG Electronics Inc. and chemical company LG Chem, aim to
`achieve a total 95 trillion won in sales revenue for 2004, 12 percent more than
`last year, and will hire 5,500 new employees, about 10 percent more than
`initially planned. The 2004 facility investment is 33 percent more than the 5.1
`trillion won LG spent last year. LG plans to pour 5.1 trillion won into its
`electronics and telecommunication units, 1.2 trillion won into chemicals and
`energy affiliates and 500 billion won into construction, retail and services
`businesses.
`
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`LG Electronics Inc.
`(KOSE:A066570), SK hynix,
`Inc. (KOSE:A000660), Hyundai
`MicroElectronics Co., Ltd.
`
`Hyundai Electronics Industries Co Ltd signed a memorandum of
`understanding to acquire 58.98% in LG Semicon Co., Ltd. from LG Corp.
`(KOSE:A003550), LG Electronics Inc. (KOSE:A066570) and affiliates of LG
`Corp. for approximately KRW 2.6 trillion on April 20, 1999. As on May 20,
`1999, Hyundai Electronics Industries Co Ltd signed a definitive agreement to
`acquire 58.98% in LG Semicon Co., Ltd. Under the terms, Hyundai
`Electronics Industries will purchase approximately 91.2 million shares of LG
`Semicon Co., Ltd. The purchase price consist of KRW 250 billion paid on May
`20, 1999; KRW 250 billion to be paid by Hyundai by May 27, 1999; KRW
`1,060 billion to be paid on July 5, 1999; and promissory notes from Hyundai
`Electronics to LG for the remaining KRW 1,000 billion upon closing. The
`transaction will be completed upon the receipt of regulatory consents in the
`United States, Europe and other required jurisdictions, which are expected
`during the summer of 1999.
`
`The transaction was approved by European Union. Merrill Lynch and Morgan
`Stanley Dean Witter acted as financial advisors to Hyundai Electronics while
`Goldman Sachs and Lehman Brothers acted as financial advisor to LG.
`
`Hyundai Electronics Industries Co Ltd completed the acquisition of 58.98% in
`LG Semicon Co., Ltd. from LG Corp. (KOSE:A003550), LG Electronics Inc.
`(KOSE:A066570) and affiliates of LG Corp. on July 7, 1999. LG Semicon will
`now be operated as a subsidiary of Hyundai Electronics. Pursuant to
`acquisition, Hyundai Electronics Industries Chief Executive Officer Kim Young-
`hwan will also assume the position of Chief Executive Officer of LG Semicon,
`together with Sun Byung-don, who is currently the Vice-President of LG
`Semicon. The U.S. Federal Trade Commission (FTC), European Union and
`U.S. Justice Department approved the merger between Hyundai Electronics
`Industries and LG Semicon. Hyundai Electronics Industries is expecting the
`official launch of the new merged corporation to be in October 1999 until then,
`both Hyundai Electronics Industries and LG Semicon will independently
`maintain their current operation policies, while immediately integrating such
`operations necessary to realize early synergy effects as research &
`development.
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`LG Electronics Inc.
`(KOSE:A066570), SK hynix,
`Inc. (KOSE:A000660), Hyundai
`MicroElectronics Co., Ltd.
`
`Hyundai Electronics Industries Co Ltd signed a memorandum of
`understanding to acquire 58.98% in LG Semicon Co., Ltd. from LG Corp.
`(KOSE:A003550), LG Electronics Inc. (KOSE:A066570) and affiliates of LG
`Corp. for approximately KRW 2.6 trillion on April 20, 1999. As on May 20,
`1999, Hyundai Electronics Industries Co Ltd signed a definitive agreement to
`acquire 58.98% in LG Semicon Co., Ltd. Under the terms, Hyundai
`Electronics Industries will purchase approximately 91.2 million shares of LG
`Semicon Co., Ltd. The purchase price consist of KRW 250 billion paid on May
`20, 1999; KRW 250 billion to be paid by Hyundai by May 27, 1999; KRW
`1,060 billion to be paid on July 5, 1999; and promissory notes from Hyundai
`Electronics to LG for the remaining KRW 1,000 billion upon closing. The
`transaction will be completed upon the receipt of regulatory consents in the
`United States, Europe and other required jurisdictions, which are expected
`during the summer of 1999.
`
`The transaction was approved by European Union. Merrill Lynch and Morgan
`Stanley Dean Witter acted as financial advisors to Hyundai Electronics while
`Goldman Sachs and Lehman Brothers acted as financial advisor to LG.
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