Samsung and Sigma in Korean coatings joint venture
Samsung Fine Chemicals (SFC) and SigmaKalon report that they have put their Korean coatings operations together into a Joint Venture Company. It will be owned 40% by Samsung Fine Chemicals and 60% by SigmaKalon, through one of its affiliates. The company will be known as Sigma Samsung Coatings (SSC).
SSC will be one of the leading suppliers of coatings to the Korean shipbuilding industry and will be a major supplier to the protective coatings, coil coatings and general industrial coatings markets.
The coatings activity of SFC has sales of 64 billion won (approximately 43 million euros) and is mainly active in marine and cell phone coatings in Korea. The business has production facilities in Ulsan, Korea.
Sigma Coatings in Korea sells exclusively to the marine market and has sales of 30 billion won (approximately 20 million euros).
Under the joint venture agreement the SFC Coatings and Sigma Coatings operations will continue to serve their separate customer bases but with combined facilities for manufacturing and technical support.
SSC should be operational by mid 2004, subject to the necessary regulatory approvals.
By this joint venture it is possible to secure the advanced coatings technologies and furthermore it is possible to increase the market share in this industry. said Yong-soon Lee, CEO Samsung Fine Chemicals. At the same time this joint venture with SigmaKalon enables the coatings division to gain strong sales networks and accumulate strong competitiveness.
This joint venture is a promising new business opportunity, in which we will be able to benefit from the technical experience and infrastructure of a solid partner in the Far East", said Pierre-Marie De Leener, CEO SigmaKalon. This joint venture illustrates our strategy to develop our presence in the Far East coatings market,
Samsung Fine Chemicals is a leading manufacturer of a diverse range of fine chemicals such as Mecellose and DMF and have a growing reputation for innovation in life science products. The company has around 800 employees with Seoul Sales Office, Factory Plant Complex located in Ulsan, Korea and R&D Center in Daejon, Korea. The sales in 2003 were approximately 743 billion Korean won. Already dominant in the domestic market and globally competitive, the company is diversifying its portfolio still further and enhancing its position on the cutting-edge of developments within such businesses as electronic chemical materials and other specialty chemicals.