Toray takeover of Korea's Woongjin Chemical agreed
Japan's Toray Industries Inc announced on 6 November 2013 that Toray Advanced Materials Korea Inc (TAK), its Korean subsidiary, had agreed the same day with Woongjin Holdings Co Ltd and others to purchase a 56.2% stake in Woongjin Chemical Co Ltd for Won 430 billion (US$ 406 million).TAK had been given the preferential negotiation right regarding the acquisition of the shares in Woongjin Chemical on 27 September 2013.
The acquisition provides the Toray Group control of Woongjin Chemical's main business of fibers and textiles as well as its water treatment filter business, which has grown in recent years and has been improving profitability. Woongjin is the largest manufacturer in Korea of reverse-osmosis membranes.
As it used to be the same company (Saehan) as TAK prior to 1999, both companies have plants in the same premises and have close relationship even now, with Woongjin Chemical providing utility and welfare service to TAK.