LG Display says it plans to issue new shares, and raise around $970 million USD. The company plans to invest this capital in its OLED business, to meet the demand for advanced displays.
LG Display's strategic plan is to increase WOLED (large-area) display production by 20% compared to 2023. It also plans to increase its small and medium sized AMOLED business, but it seems LGD has not yet committed to expand production capacity further.
Last month it was reported that LGD plans to announce its 8.6-Gen production line plans in the second half of the year, and start ordering equipment. It could be that today's announcement means that its investment in IT AMOLED production may be delayed.
LGD recently signed a 5-year WOLED TV panel supply agreement with Samsung, and it's likely that it is now confident it can increase production capacity as it secured demand.
LG Display recently return to profits in Q4 2023, after 7 quarters of losses. LGD says that demand for both its smartphone displays and WOLED panels (TVs and monitors) has increased. OLED revenues amounted to 57% of the company's total revenues during the quarter, and it clear that OLED represents the future for LGD.
