Iljin Materials announces name change to Lotte Energy Materials

Iljin Materials Co. was acquired by the Lotte Group last year, and the deal has been finalized after the anti-trust regulator in the country approved the acquisition last month. The negotiation is now expected to close before the second quarter of 2023.

With the issued approval, Lotte Chemical Corp. will now legally own the South Korean battery material supplier and the second-largest copper foil maker in the country. And because of the change in ownership, the chemical arm of the Lotte Group announced it would be renamed Iljin Materials.

Iljin Materials and Lotte Chemical signed a deal last year, and as the negotiation is completed, the company has been renamed Lotte Energy Materials, as per The Korea Herald.

Iljin Materials also confirmed on Monday, Feb. 27, that it actually made the proposal to change its name and articles of incorporation, and this will be tackled at the upcoming extraordinary shareholders meeting that will be held on Mar. 14.

At this meeting, the copper foil producer is also planning to appoint some executives from Lotte Chemical to become new directors. Meanwhile, it was in October of last year when Lotte agreed to acquire Iljin Materials for KRW2.7 trillion or about $1.9 billion. The purchase is said to be a strategy for Lotte to improve its electric vehicle parts portfolio.

The deal will give the chemical arm of the Lotte Group the rights to exercise stock warrants to acquire an additional five million shares. Based on the filing with the country’s Financial Supervisory Service, this deal is closing this month.

Prior to this, it was revealed that the original buyer of Iljin Materials was LBM Holdings LLC. The companies have yet to release more details about the acquisition deal.