LG Electronics to Spin Off Electric Vehicle Powertrain Division... Magna Joint Venture Officially Launches in July

Magna Joint Venture Officially Launches This July
Dividend Increased to 1,200 KRW per Common Share

[Asia Economy Reporter Hwang Yoon-joo] LG Electronics is splitting its electric vehicle powertrain business.

LG Electronics announced on the 25th that it will hold its regular shareholders' meeting at 9 a.m. on March 24 at the Yeouido Twin Towers in Seoul to approve the plan to split the VS Business Division's electric vehicle powertrain (power transmission device) related business.

At the end of last year, LG Electronics held an extraordinary board meeting and decided to establish a joint venture (JV) in the electric vehicle powertrain sector with Magna International, the world's third-largest automotive parts supplier. Through a physical division, LG Electronics will hold 100% of the shares of the newly established company, and Magna will acquire 49% of the shares. The joint venture is scheduled to officially launch in July this year.

Additionally, to make it more convenient for shareholders to exercise their voting rights, an electronic voting system will be introduced starting from this shareholders' meeting. The electronic voting system reflects the increased demand from shareholders to participate remotely online.

Furthermore, an agenda to increase dividends to 1,200 KRW per common share and 1,250 KRW per preferred share is also expected to be approved.

This content was produced with the assistance of AI translation services.