[Alpha Biz=(Chicago) Reporter Kim Jisun] The Fair Trade Commission has approved the establishment of "LS L&F Battery Solution" (tentative name), a joint venture between LS and L&F to produce key materials for secondary batteries.

The establishment of production plants at major overseas bases is expected to be visible depending on the results of the screening by rival authorities in China, Poland and Vietnam, where the two companies reported a business combination.

The FTC said it notified the company of the results of its approval review on the 22nd, judging that the establishment of the two companies does not limit competition in the global precursor and the front and rear markets.

The Fair Trade Commission received a business combination report on June 30 and reviewed it after supplementing the report three times. It takes into account the fact that a new company will enter the precursor market due to the corporate combination, the market for nickel sulfate and cobalt sulfate, the raw materials of the precursor, the low share of LS and L&F in the anode material market using the precursor, and the fact that the concentration of related markets is not large and competition is active.

The new company will be set up at the Saemangeum National Industrial Complex to produce precursor, a key material for secondary batteries used in electric vehicles and others. LS and L&F will establish a value chain for the secondary battery industry that leads to nickel sulfate, cobalt sulfate, precursor and anode materials in the front and rear markets with new companies at the center.

 

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