Lotte Healthcare will cater to aging society
Lotte Corporation announced it will establish health care subsidiary Lotte Healthcare, targeting the aging population and growing demand for health services.
Lotte Corporation made the decision during a board of directors meeting Thursday. It plans to invest 70 billion won ($56.7 million) in the new subsidiary, but exactly how much stake it will own was not yet mentioned.
Lotte Healthcare will offer services to diagnose health conditions and provide treatment to its customers. It will also suggest customized diets and workout plans along with necessary health supplements for each customer by using information collected through gene testing and health checkups.
According to the company, the local health care market was valued at 237 trillion won as of 2020, but is expected to grow an average 6.7 percent on year to 450 trillion won in 2030.
Lotte Corporation added that Lotte Healthcare will partner with other companies and attract more investments to enhance competitiveness in gene testing.
The company has plans to expand the business globally, after initially starting only in Korea.
It will incorporate non-fungible tokens into its business in the future, and also expand into the healthcare gadgets market.
Partnerships with other Lotte subsidiaries is also on the way. Lotte’s elderly home business, led by Lotte Hotels & Resorts, will work together with Lotte Healthcare and offer consultations based on the health conditions of the residents at elderly homes. The hotel company aims to build some 30 senior towns and nursing homes by 2030.
Lotte Healthcare will also partner with Lotte's food companies, though not yet named specifically, to develop health supplements. Lotte Corporation's subsidiaries Lotte Chilsung Beverage announced it will start selling health supplements in the third quarter this year, and Lotte Health One has been selling health supplements such as ginseng and probiotics.
BY LEE TAE-HEE [email@example.com]