KKR is investing in Korean car part makers as it believes it sees a road through the technology changes roiling the auto industry.
The New York-headquartered private equity firm said on Thursday that it is buying into two businesses owned by Korean chaebol, LS Group. They make electrical auto parts and electric vehicle battery copper foils.
In KKR’s view the automotive industry faces a bumpy ride as more and more ecologically conscious people start using electric cars and the prospect of self-driving vehicles gets closer to becoming reality. This technological transformation has put pressure on traditional auto-component manufacturers to innovate.