Lotte Corporation to pour 120 billion won into Lotte Biologics for Incheon production plant

Lotte Corporation will funnel 120 billion won ($86.4 million) into Lotte Biologics for the biopharmaceutical contract manufacturer’s upcoming production plant in Incheon.

A computer-generated image of Lotte Biologics' 360,000-liter production plants, which will be built in Songdo, Incheon [LOTTE BIOLOGICS]

Lotte Corporation will funnel 120 billion won ($86.4 million) into Lotte Biologics for the biopharmaceutical contract manufacturer’s upcoming production plant in Incheon.

Lotte Corporation will secure 1.84 million shares worth 120 billion won in Lotte Biologics as part of the biopharmaceutical subsidiary’s latest 150 billion won rights issue, according to the companies’ regulatory filings on Tuesday.

The parent company’s stake in Lotte Biologics will remain unchanged at 80 percent. The remaining 20 percent is held by Lotte Holdings in Japan.

The latest funding will be used to build production plants in Songdo, Incheon.

Lotte Biologics announced last year it would build three new plants in Incheon with a combined production capacity of 360,000 liters by 2030. The company has a production site in Syracuse, New York, which it acquired from Bristol Myers Squibb for $160 million last year.

BY SHIN HA-NEE [shin.hanee@joongang.co.kr]