Lotte Chemical said Oct. 30 it has decided to sell its British PET production unit in a move to restructure its business portfolio.
The UK unit will be sold to DAK Americas, a subsidiary of Mexican chemical giant Alpek, following a share purchase agreement. The value of the deal wasn’t disclosed.
Lotte Chemical UK became an affiliate of Lotte Chemical in 2010. It posted sales of 472 billion won (US$403 million) and operating profit of 21.2 billion won in 2018, but Lotte Chemical said its British unit is not in its long-term plan.
“We thought we can’t beat Chinese, Middle Eastern petrochemical firms only by pursuing quantitative growth,” Lotte Chemical said in a statement. “This deal shows our restructuring effort toward quality growth.”
By Ram Garikipati and newswires (firstname.lastname@example.org)