(LG Electronics)

South Korea's major appliances company LG Electronics said Tuesday it will pay out more dividends to its shareholders in a move to increase shareholder value.

At an annual shareholders' meeting in Seoul, CEO Cho Joo-wan announced a new shareholder return policy for the next three years, improving the company's dividend payout ratio by 5 percentage points to 25 percent starting next year.

He also said the dividends will be delivered twice a year, with the minimum dividend set at 1,000 won ($0.75).

"Along with our shareholder return policy, we will consistently promote business model innovation and acceleration of new businesses to increase corporate value, and all employees, including the CEO, will work together to continue to increase shareholder value," Cho said. (Yonhap)