UPDATED. 2024-07-19 07:49 (금)
LG Energy Solution CEO claims company will overtake CATL
LG Energy Solution CEO claims company will overtake CATL
  • Stan Lee
  • 승인 2022.01.10 18:06
  • 댓글 0
이 기사를 공유합니다

Kwon claims market cap gap to narrow in future with Chinese giant
Image: LG Energy Solution
Image: LG Energy Solution

LG Energy Solution CEO and vice chairman Kwon Young-soo has claimed in a conference of the company’s IPO that it will overtake CATL, the world’s largest battery maker, in the future.

Kwon said that LG Energy Solution’s market capitalization is currently behind CATL but the pair would soon be "competing on equal footing."

LG Energy Solution is preparing to set its share price this week on Friday ahead of its IPO.

The company is expected to be valued at around 70 trillion won, with analysts expecting it to hit 100 trillion won after it goes public.

As of Monday, CATL’s market capitalization is 234 trillion won, over triple that of LG Energy Solution’s initial valuation.

Kwon said that CATL had enjoyed high profitability from selling batteries at a “good price” in China so far.

But LG Energy Solution had more remaining orders compared to the Chinese battery giant, the CEO said. When CATL builds factories outside of China in areas such as Europe, “the situation will change,” he claimed, implying that the South Korean battery maker is better positioned to compete in markets outside of China compared to CATL.

LG Energy Solution had 260 trillion won worth of remaining orders from car batteries, which will allow the company to grow over 25% per year and have a double-digit operating margin, Kwon said.

Meanwhile, in lithium iron phosphate (LFP) batteries, LG Energy Solution aims to enter the energy storage systems market first, the CEO said.

On how it plans to compete with leading Chinese companies in the sector once LG Energy Solution starts supplying LFP batteries to the electric vehicle market, Kwon said its batteries will offer high performances.

Meanwhile, out of the around 12 trillion won in funding expected from the IPO, LG Energy Solution plans to spend 5.6 trillion won up to 2024 to expand its battery production in South Korea, Europe and China, the CEO added.

삭제한 댓글은 다시 복구할 수 없습니다.
그래도 삭제하시겠습니까?
댓글 0
계정을 선택하시면 로그인·계정인증을 통해
댓글을 남기실 수 있습니다.

  • 515, Nonhyeon-ro, Gangnam-gu, Seoul, Republic of Korea 4F, Ahsung Bldg.
  • 대표전화 : 82-2-2658-4707
  • 팩스 : 82-2-2659-4707
  • 청소년보호책임자 : Stan LEE
  • 법인명 : The Elec Inc.
  • 제호 : THE ELEC, Korea Electronics Industry Media
  • 등록번호 : 서울, 아05435
  • 등록일 : 2018-10-15
  • 발행일 : 2018-10-15
  • 발행인 : JY HAN
  • 편집인 : JY HAN
  • THE ELEC, Korea Electronics Industry Media Prohibiting unauthorized duplication,publishing,modification and distribution the material on this Site for any purpose.
  • Copyright © 2024 THE ELEC, Korea Electronics Industry Media. All rights reserved. mail to powerusr@thelec.kr