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Technology

LG's smartphone exit signs welcomed by investors and analysts

Shares soar 25% in two days as company weighs 'all options' for loss-making unit

South Korean electronics maker LG looks set to pull out of the smartphone business, a development that sent its share price price soaring. (Screenshot from LG YouTube page) 

SEOUL -- Signs that LG Electronics is preparing to exit the smartphone business after five years of failure were welcomed by investors and analysts who say the move will help the company become a top-tier player in the home appliance and auto parts sectors.

Shares of LG Electronics have soared 25% in two days, including a 10.8% jump to 185,000 won on Thursday. Its market capitalization reached 30.3 trillion won ($27.6 billion), putting it 13th among companies on the benchmark Kospi index.

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