U.S. adhesive firm bought by LG Chem

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U.S. adhesive firm bought by LG Chem

Published: 12 Sep. 2018, 20:16

LG Chem, Korea’s biggest chemical company by sales, said Wednesday that it acquired Uniseal, an American maker of specialty adhesives and sealants, to diversify its business portfolio.

LG Chem purchased a 100 percent stake in Uniseal from its parent company, Koch Enterprises, in a deal worth about 150 billion won ($133 million), according to a person familiar with the deal who spoke under the condition of anonymity.

The acquisition strengthens LG Chem’s business portfolio in materials used in the auto industry.

Currently, LG Chem is a key supplier of batteries to U.S. auto giant General Motors, European companies Volvo and Renault and Korea’s Hyundai Motor Group.

LG Chem Vice Chairman and CEO Park Jin-soo said his company will nurture vehicle adhesives into a global business, noting that the materials are a promising business as carmakers push to reduce the weight of their vehicles.

Yonhap