LG Chem's Subsidiary L-H Battery Completes Sale of Battery Plant Building to Honda... Aiming for Operational Efficiency, Slight Downward Adjustment in Disposal Price
LG Chem's subsidiary L-H Battery Company (a JV between LG Energy Solution and Honda) completed the sale of its battery plant building (excluding land and equipment) in Ohio to Honda's U.S. subsidiary.
Final disposal amount is 3.7416 trillion KRW (based on book value of $2.53 billion at contract date exchange rate of 1,478.90 KRW/USD), down about 482.7 billion KRW from the initially planned 4.2243 trillion KRW.
The purpose is to improve JV operational efficiency, and the asset represents 4.0% of LG Chem's total assets.
This is a related-party transaction (with Honda), and the ownership transfer was completed on May 25, 2026 local time.
[AI Comprehensive Analysis]This asset sale is part of a restructuring within the JV, contributing to liquidity but with limited profit impact due to the downward price adjustment and reduced asset base. The impact on the stock price is neutral.
KOSPI Filing Information
Filing: [Correction of Description] Decision on Disposal of Tangible Assets (Major Management Matters of Subsidiaries)