Hankuk Carbon to attract $24mn investment from Mitsui & Co.

[Source:Hankuk Carbon Co.]

Hankuk Carbon Co. has agreed to attract 30 billion won ($24 million) investment from Japan’s Mitsui & Co. According to the Financial Supervisory Service on Thursday, Hankuk Carbon will issue 29.6 million new shares to Mitsui on March 8 for about 21.4 billion won. The Korean company will also sell its 1.27 existing shares to the Japanese company on the same day for 9.1 billion won for business alliance and joint projects. Hankuk Carbon will use the 21.4 billion won to be raised as its working capital.

The two companies reached an agreement for cooperation in composite material processing business and developing lightweight technology for cars and airplanes, said an official at Hankuk Carbon, adding that the stock transaction will bring a 10 percent stake to Mitsui.

Lightweight technology for mobility solutions draws attention as a solution to global warming and it is imminent to develop price competitive lightweight materials and components, the official said.

Mitsui & Co. is Japan’s leading trading firm with a total asset of 107 trillion won. It has 143 sites in 60 countries, focusing on the development of new materials and future mobility solutions.

Hankuk Carbon has broadened its business scope to include LNG insulation and building materials and printed circuit boards since 1985 when it began commercial production of carbon fiber. The company will put more focus on composite material processing for lightweight vehicles and aircraft.

In January, it inked a memorandum of understanding with Israel Aerospace Industries (IAI) to develop unmanned aircraft.

[ⓒ Maeil Business Newspaper & mk.co.kr, All rights reserved]