South Korean electric vehicle (EV) battery manufacturer LG Energy Solution Ltd (LGES) said it had established two separate in house companies to develop its battery swapping and energy management businesses, according to local reports.

LGES set up KooRoo to accelerate development of its battery as a service (BaaS) business, focused on the development of dedicated swappable EV batteries and related business.

The company said swappable batteries were an emerging business segment for battery manufacturers with EV buyers able to subscribe separately to batteries including access to networks where they could quickly swap depleted batteries for fully charged ones.

Contemporary Amperex Technology Company Limited (CATL) and other companies are already rolling out EV battery swapping networks in China.

LGES also established Avel, focused on developing its energy storage system (ESS) business. The company would measure and drive up the efficiency of ESS as part of a broader push into energy-as-a-service (EaaS).