LG Electronics is making headlines with a swirling report that the company plans to withdraw from the smartphone business. The latest development involves a Vietnamese conglomerate, which is reportedly discussing the acquisition of the smartphone business from LG Electronics.
by Business Korea, Vietnam’s Vingroup Co has made the most attractive offer to buy LG’s smartphone business. The company accounts for 14% of the market capitalization of listed Vietnamese companies in Vietnam. We have a diverse business portfolio involving various industries such as hotels, real estate, distribution, automobiles, smartphones and land development. The company already manufactures smartphones for LG under ODM contracts and is the third smartphone maker in Vietnam after Oppo and Samsung.
According to the report, Vingroup Co is interested in acquiring LG’s smartphone business in the United States, which will give Vingroup Co a global presence. LG is reportedly interested in selling the smartphone business “one by one.”
Recently, LG has sent an internal note that foresaw major changes imminent in the mobile sector, such as “sale, withdrawal, shrinkage of smartphone business.” This is not a good omen for the company’s recently teased LG Rollable, which has a marketing date for this year. The future of LG Rollable is now uncertain in this week’s news.