LG"s Activity Attracts Bussiness World"s Gaze

LG Telecom's latest advertisement, bearing the slogan, 'Our occupation forces are marching.' perhaps signals the entire chaebol's attitude in the face of a shifting business landscape.
Ostensibly the copy refers to the fact that after LG installs 20,000 personal communication service(PCS) mini-relay stations in underground facilities, cell phone subscribers will suffer no more interruptions in service.
However, LG Group as a whole, has attracted the business world's attention by its recent movements.
Not only does LG almost have Dacom Telecom within its grasp, after the government repealed the 5 percent limit on LG's stake in the jewel of the telecommunications industry, but LG applied on May 3 to the Financial Supervisory Commission(FSC) its intention to takeover Korea Life Insurance Co., as well.
The atmosphere of the fourth-largest Korean conglomerate is as bright as 1996 when it received permission to enter the PCS market and entirely different from the beginning of this year when it reluctantly decided to sell its semiconductor operation to Hyundai.
Concern over the competition and the capital needed during privatization of public corporations in the future, has led some analysts in the business world to state, 'Handing over the semiconductor industry to Hyundai was actually a benefit to LG in the end.'
LG's capital will increase from the sale of its semiconductor industry, issuing new share offerings, and attracting foreign capital.
Hyundai will pay 1.47 billion won to LG as a result of the semiconductor merger by June, and LG plans to issue 1.2 billion won worth of new shares.
Furthermore, LG is striving to attract 4.72 billion dollars in foreign capital this year.
Jooan Kang : jooan@joongang.co.kr