Lotte Group chief highlights focus on four growth engines

Lotte Group Chairman Shin Dong-bin

Lotte Group will focus efforts on emerging sectors such as biotechnology and metaverse and divest underperforming businesses, according to the conglomerate’s chief on Tuesday.

“We had previously expanded our businesses through listings and mergers and acquisitions,” Lotte Group Chairman Shin Dong-bin said, in an interview with Japanese newspaper Yomiuri Shimbun. “We are now changing course.”

Shin noted how the conglomerate acquired about 60 companies but now it is on course to divest some of them.

“I believe that selling off long-struggling businesses under our umbrella to other operators will be better for the employees as well,” Shin told the newspaper.

The chief also spoke about the group’s new focus areas.

“We are exploring new business opportunities across four growth sectors,” he said, mentioning bio-technology, metaverse, hydrogen energy, and secondary battery materials.

Last year, Lotte Group sold its Japanese fast food chain Lotteria to local restaurant giant Zensho Holdings Co.

It has been concentrating on nurturing new growth engines, centered around Lotte Biologics Co., Lotte Healthcare Co., and Lotte Data Communication Co. Shin Yoo-yeol, the chairman’s eldest son, assumed his position as the head of the future strategy office at Lotte Corp. last year, tasked with identifying the group’s future growth drivers.