By Kwanwoo Jun
LG Chem Ltd. has pledged to invest nearly $9 billion in new, sustainable businesses in the next four years, with a big chunk of investment set aside to bolster its battery-materials segment.
The South Korean chemical giant plans to spend 10 trillion won ($8.69 billion) in boosting its three major new growth engines: eco-friendly biomaterials, battery materials and medicines, LG Chem Chief Executive Shin Hak-cheol said in an online news conference on Wednesday.
LG Chem, the parent of battery maker LG Energy Solution, will invest KRW6 trillion in boosting its output of materials used for batteries, as well as carbon nanotubes, Mr. Shin said.
The company has also set aside KRW3 trillion to boost the production of more of eco-friendly and bio materials and another KRW1 trillion for developing medicines, Mr. Shin said.
Mr. Shin said LG Chem aims to become a top global supplier of cathode materials used in electric-vehicle batteries, with the construction of a new plant to start in December in South Korea.
LG Chem plans to increase its output of cathode materials to 260,000 metric tons by 2026 from 40,000 tons last year, Mr Shin said.
LG Energy Solution, which was spun off from LG Chem late 2020, plans to go public in South Korea this year.
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(END) Dow Jones Newswires
July 13, 2021 23:18 ET (03:18 GMT)Copyright (c) 2021 Dow Jones & Company, Inc.