HK Stock Market Move | Jiangsu Lopal Tech. (02465) rose by more than 4% in the morning, introducing strategic investment from LG Energy Solution to strengthen layout in the lithium battery industry.

Jiangsu Lopal Tech. (02465) rose more than 4% in the early trading session, as of the time of writing, it rose by 4.06% to 5.9 Hong Kong dollars, with a trading volume of 805,400 Hong Kong dollars. In terms of news, Jiangsu Lopal Tech. announced that on February 21, 2025 (after trading hours), it entered into a subscription agreement and a shareholder agreement with LBM, target company PT LBM Energi Baru Indonesia and investor LG Energy Solution, Ltd., and a supplemental agreement with the company, Changzhou Lithium Resource, LBM, target company, and investor. According to the subscription agreement, upon completion, the target company should issue shares to the investor, and the investor should subscribe for a total of 255,930.64 shares of newly issued target shares, with a total subscription price of approximately 15.9709 million US dollars, which will represent 20% of the target company's issued and outstanding shares on a fully diluted basis. The announcement stated that the target company should use all funds raised from the investor's subscription for the construction and operation of a phase I factory in Indonesia. It is reported that the target company is a foreign-invested company established in Indonesia in February 2023 under the laws of the Republic of Indonesia, and is an indirect non-wholly-owned subsidiary of the company, with 99.99% owned by LBM. The target company is mainly engaged in the research, production, and sale of lithium iron phosphate cathode materials. The investor is a company established in 2020 and listed on the Korea Exchange (stock code: 373220.KS), mainly engaged in the automotive battery business. Its business includes researching batteries, components, BMS (Battery Management Systems), and battery packs, as well as providing technical support.