GM EV Battery Partner LG Energy Seeks Up to $10.8 Billion in Record IPO
- LG Energy and parent LG Chem to issue 42.5 million shares
- Battery maker set aside $918 million to cover Bolt recall cost
A LG Energy Solution Co. battery cell for electric vehicles in Seoul, South Korea.
Photographer: SeongJoon Cho/BloombergThis article is for subscribers only.
LG Energy Solution plans to raise as much as 12.75 trillion won ($10.8 billion) in what would be South Korea’s biggest-ever initial public offering, defying concerns over fires involving its batteries that led to a mass recall of Chevrolet Bolt electric vehicles.
The company will issue 34 million new shares priced between 257,000 won and 300,000 won each, it said in a filing Tuesday. Parent LG Chem Ltd. will sell 850,000 shares, bringing the total to 42.5 million. Retail and institutional investors can subscribe on Jan. 18 and 19, according to the IPO prospectus, which said 20% will be allotted to employees. Trading will begin on Jan. 27.