Korea's Lakeside Group invests in LS due to technology dispute

The Hoban Group, which is involved in construction projects, is believed to have acquired nearly 5% of LS, which is in the electric wire business.
The investment amount for the 100% stake is estimated to be about 160 billion won (about 150 million yen).” The background to the Hoban Group's acquisition of LS shares is pressure to acquire management rights of LS.
In 2019, LS Cable filed a lawsuit against Taihan Electric Wire, a cable giant in the Hoban Group, alleging that its bus duct joystick kit infringed on the company's patents.
Separately, friction has arisen over the acquisition of undersea cable technology. In order to maintain its advantageous position, the Huban Group has now acquired LS Group's shares.
In April, after the Hoban Group acquired LS's shares, the LS Group signed a memorandum of understanding (MOU) with the Hanjin Group, with whom it had no previous dealings, regarding the aerospace business.
On May 30, LS Electric, a defense equipment manufacturer, said it was planning to cooperate with Korean Air and other companies in the defense industry. An industry source said, "The Hoban Group had been planning to acquire management rights even before the technology dispute.
"It seems likely that they invested in the shares for multiple purposes, including to avoid pressure from the government."