NEW DELHI (Reuters) -South Korea’s Lotte Chemical said on Thursday it has sold about 75% stake in its Pakistani subsidiary to Dubai-based PTA Global Holding for 98 billion won ($68.94 million).
The South Korean company is trying to restructure its portfolio under a government-led programme aimed at aiding loss-making petrochemicals in the country due to poor demand and abundant supply.
Lotte Chemical Pakistan produces 500,000 tons of high-purity terephthalic acid (PTA), used in polyester fibers, industrial yarns, and PET bottles, annually at its plant in Karachi.
Adnan Afridi has been appointed the firm’s chief executive officer following the stake sale, Lotte Chemical Pakistan said in a statement late on Wednesday.
Afridi said the company plans aggressive growth “through mergers and acquisitions to enable diversification and scale”.
($1 = 1,421.4800 won)
(Reporting by Mohi Narayan; Editing by Eileen Soreng)
