LG Electronics seizes control of Bear Robotics to boost robot business
Published: 24 Jan. 2025, 12:50
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- CHO YONG-JUN
- [email protected]
![Bear Robotics' autonomous server robot Servi Plus [BEAR ROBOTICS]](https://koreajoongangdaily.joins.com/data/photo/2025/01/24/40b69e73-07c2-4eef-845b-b65e91fc8c37.jpg)
Bear Robotics' autonomous server robot Servi Plus [BEAR ROBOTICS]
LG Electronics has acquired management rights to Bear Robotics by purchasing an additional 30 percent stake in the Silicon Valley-based robotics startup, bringing its total holding to 51 percent, following an existing 21 percent stake.
LG Electronics said Friday that the buyout is aimed at accelerating its commercial robot business.
The company’s existing commercial robot business, most known by its CLOi server robots, will be merged with Bear Robotics, while Bear Robotics CEO John Ha and other key executives will remain unchanged, according to LG Electronics on Friday.
LG Electronics did not disclose the size of the deal, but the cost of the acquisition added with the value of the company's commercial robot business, is estimated to be $180 million, according to industry insiders.
The Korean company first invested $60 million in Bear Robotics in March 2024, acquiring a 21 percent stake. LG Electronics also had call option rights to purchase an additional 30 percent of shares.
LG Electronics held a board meeting Wednesday to exercise its call option. Upon completion of the option exercise, the company will hold a 51 percent stake in Bear Robotics and will soon have members on the robotics firm’s board of directors.
Bear Robotics, founded by former Google software engineer Ha in 2017, is known for its autonomous service robot, Servi, which is sold in the United States, Korea and Japan. The company also develops advanced robot software, including autonomous driving technology for commercial robots and software that optimizes the routes of multiple robots simultaneously.
LG Electronics plans to leverage Bear Robotics' software technology to build a platform that can be applied across commercial, industrial and home robots.
“The additional investment reflects LG Electronics’ strong commitment to robotics as a new growth sector for the company,” said Lee Sam-soo, vice president and chief strategy officer at LG Electronics, in a press release Friday.
“LG Electronics will continue its innovation in the commercial, industrial and home robot industries."
BY CHO YONG-JUN [[email protected]]
with the Korea JoongAng Daily
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