Lucky Core Industries Limited (LCI), formerly known as ICI Pakistan Ltd, has signed a Share Purchase Agreement (SPA) with Lotte Chemical Corporation (LCC), a South Korean chemical giant, for the acquisition of over 1.13 billion ordinary shares of its affiliate Lotte Chemical Pakistan Limited (LOTCHEM).

The company shared the development in a notice to the Pakistan Stock Exchange (PSX) on Friday.

“We are pleased to communicate that Lucky Core Industries Limited has signed a SPA with Lotte Chemical Corporation for the acquisition of 1,135,860,105 ordinary shares of Lotte Chemical Pakistan Limited, constituting approximately 75.01% of the issued and paid-up capital of LOTCHEM,” read the notice.

LCI shared that the completion of the transaction is subject to the terms of the SPA including the various public offer and completion conditions stated therein, receipt of requisite approvals including clearance from the Competition Commission of Pakistan (CCP), and completion of other closing formalities.

Earlier, it was learnt that LCC Korea plans to sell its 75.01% stake in affiliate LOTCHEM for 192.4 billion won or over $155 million.

LCC Korea said the purpose of the disposal of shares is to “optimise business portfolio”.

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Founded in 1976, LCC Korea has grown to become South Korea’s leading chemical company and operates production facilities in Yeosu, Daesan, and Ulsan, the major petrochemical complexes in Korea.

LCC Korea operates its business through four segments including the polymer segment, involved in the manufacturing and sale of raw materials of plastics, home appliances and automobiles, and the monomer segment, involved in the manufacturing and sale of raw materials of processed petrochemicals.

The basic chemical segment deals with manufacturing and sale of raw materials such as ethane, propylene, benzene, and toluene; while one segment is engaged in real estate leasing, as well as the provision of dispatch services.