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LG Chem to buy LG Life Sciences for nearly $1 billion

Published 12/09/2016, 01:36
Updated 12/09/2016, 01:40
© Reuters.  LG Chem to buy LG Life Sciences for nearly $1 billion

SEOUL (Reuters) - South Korean chemicals and battery maker LG Chem (KS:051910) on Monday said it plans to acquire pharmaceutical affiliate LG Life Sciences (KS:068870) for about 1.1 trillion won ($989.56 million) to make its bio business a new growth engine.

LG Life Sciences investors will receive about 0.26 of a common share in LG Chem for each share they own and about 0.25 of a preferred share in LG Chem, the two companies said in a regulatory filing.

LG Chem said it would complete a merger by Jan. 1.

In January, LG Chem agreed to buy seeds, pesticides and fertilisers maker Dongbu Farm Hannong for 515.2 billion won.

The company said it would achieve a sales of 5 trillion won from its bio business by 2025.

($1 = 1,111.6000 won)

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