Carmignac to Back Activist Palliser’s Push for LG Chem Governance Overhaul Ahead of AGM

Carmignac, a European asset manager with over €20 billion in assets under management, has formally announced its support for Palliser’s shareholder proposal targeting LG Chem’s governance framework. The campaign, scheduled for discussion at the company’s 2026 AGM, calls for the appointment of independent directors with experience in clean energy and advanced battery technology. This comes amid rising pressure from institutional investors to align corporate strategy with the global shift toward electrification and energy storage. The initiative is particularly significant given LG Chem’s pivotal role in the global battery supply chain. The company holds a 15% share of the global EV battery market and supplies key clients including Tesla (TSLA), with whom it has a multi-billion-dollar long-term agreement. LG Chem’s energy storage business, which accounts for 30% of its total revenue, has seen a 22% year-on-year increase in Q4 2025, reflecting strong demand in grid-scale and residential applications. Palliser’s proposal also urges a reallocation of capital toward next-generation solid-state battery research, a sector where LG Chem currently trails leaders like Toyota and Samsung SDI. The group estimates that a strategic pivot could unlock $1.8 billion in incremental market value by 2030, based on projected demand for high-energy-density batteries in electric aviation and defense applications. The planned shift may influence investor sentiment toward LGCN and related stocks in the energy and defense sectors. Market reaction has already begun, with LGCN shares rising 3.5% in pre-market trading following the announcement. Analysts note that the outcome of the AGM could serve as a bellwether for institutional influence in Asian tech and industrial firms. Investors in TSLA and LIT—exposed to battery supply chains—may reassess their positions depending on LG Chem’s response.