April 26, 2024

• 

[THE INVESTOR] CJ CheilJedang has signed a letter of intent to establish a joint venture in China with US biochemical company BioAmber, according to the Korea Economic Daily on Dec. 21.

The JV will manufacture succinic acid, an additive that is used to make a broad range of products including food, biodegradable plastics and cosmetics. 

A factory will be built at CJ’s site in Shenyang, China, and BioAmber will provide the technology. The facility will start operating in the first half of 2018 with a capacity of 36,000 metric tons a year.

CJ will own 65 percent stake, and the rest will be held by its Montreal-based partner. The deal will be sealed in July next year.

By Hwang You-mee (glamazon@heraldcorp.com)