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(Photo= Yonhap news) |
[Alpha Biz= Reporter Kim Jisun] Lotte Wellfood announced on the 6th that it is considering various options for a merger with Lotte International. The company clarified that no final decisions have been made yet but stated that it would disclose more details either upon reaching a concrete decision or within the next month.
Lotte International specializes in supplying agricultural, livestock, and marine products, as well as food ingredients, within South Korea. The company operates overseas branches in the United States, Vietnam, Australia, Russia, and other regions, with key products including soybeans, corn, Australian beef, shrimp, and salmon.
If the merger proceeds, Lotte Wellfood is expected to benefit from cost savings and synergies by combining with its raw material supplier, Lotte International, which could in turn enhance its productivity. The food industry anticipates significant synergies between the two companies from this potential merger.
Should the merger be finalized, the resulting entity would have an annual revenue nearing 5 trillion KRW. Last year, Lotte Wellfood recorded a revenue of 4.066 trillion KRW, while Lotte International posted 620 billion KRW in revenue.
Previously, Lotte Wellfood, formerly known as Lotte Confectionery, absorbed Lotte Foods in July 2022 and subsequently rebranded to Lotte Wellfood in April 2023.
Alphabiz Reporter Kim Jisun(stockmk2020@alphabiz.co.kr)
