British Investment Firm Secures 5% Stake in LG... Stock Price Soars

by Park Joonyi

Published 12 Apr.2023 17:18(KST)

Appears to Have Influenced Factors Including Shareholder Event Possibility

The UK-based investment firm Silchester International Investors LLP (hereinafter Silchester) announced on the 12th that it holds more than 5% of LG's shares, causing LG's stock price to surge.

During the trading session on the same day, Silchester disclosed that it recently purchased additional LG shares on the market, holding 7,896,588 shares, equivalent to a 5.02% stake.

British Investment Firm Secures 5% Stake in LG... Stock Price Soars

Before the announcement, LG's stock price was in the 87,000 won range, but immediately after the disclosure, it rose to the 90,000 won range and closed at 93,500 won, up 9.48%.

Silchester stated that its purpose for holding LG shares is "general investment." The sharp rise in the stock price is interpreted as being influenced by expectations regarding whether Silchester will exercise its shareholder rights amid concerns that LG family's inheritance disputes could escalate into a management rights conflict.