Hyosung TNC Approves Acquisition of Hyosung Chemical Specialty Gas Business... Launch of Hyosung Neochem

Hyosung TNC's acquisition of Hyosung Chemical's specialty business has passed the shareholders' meeting, leading to the launch of the newly established company Hyosung Neochem.

On the 23rd, at an extraordinary shareholders' meeting held at the headquarters in Mapo-gu, Seoul, Hyosung TNC announced that 2,501,407 shares, accounting for 92% of the shares present, voted in favor, approving the agenda item 'Acquisition of Hyosung Chemical Co., Ltd. Specialty Gas Business Division' as originally proposed.

Kim Chi-hyung, CEO of Hyosung TNC, is giving a greeting at the extraordinary general meeting of shareholders held at Hyosung headquarters in Mapo-gu, Seoul, on the morning of the 23rd. (Photo by Hyosung)

The business subject to acquisition includes the specialty gas manufacturing and sales operations, including production facilities at Hyosung Chemical's Yongyeon and Oksan plants, with an acquisition price of 920 billion KRW. Previously, stakeholders holding 6.99% of shares, such as the National Pension Service, California Public Employees' Retirement System (CalPERS), and California State Teachers' Retirement System (CALSTRS), also expressed support for this agenda.

Hyosung TNC will establish its subsidiary Hyosung Neochem and complete the transaction by the 31st of this month. Lee Geonjong, CEO of Hyosung Chemical, was appointed as the inaugural CEO of Hyosung Neochem, which will launch on February 1st.

Through this acquisition, Hyosung TNC expects to create synergy effects with its existing nitrogen trifluoride (NF3) business and secure new growth engines, thereby enhancing corporate and shareholder value.

Hyosung Neochem will secure an annual NF3 production capacity of 11,500 tons, ranking second in the world, by adding Hyosung TNC's 3,500-ton annual NF3 production capacity in Quzhou, China. Additionally, by acquiring the specialty gas business, an essential material for the semiconductor industry with high growth potential, the company anticipates diversifying its portfolio and dispersing management risks.

Kim Chihyung, CEO of Hyosung TNC, stated, "We decided to acquire Hyosung Chemical's specialty gas business division to secure future growth engines, and through this, we aim to accelerate the transition to a high value-added business. We will establish ourselves as a trusted company in the market and among customers through continuous innovation and growth."

This content was produced with the assistance of AI translation services.