The company ‘Lotte Chemical Totan Holding Bhd has announced that, and its related company known as Lotte Chemical USA Corporation (LC USA) has now entered into a security partnership with the Eagle US 2 LLC for the purpose of transferring a further 3.23 percent of the company equity interest in the LACC LLC for 89.10 million dollars.
The company ‘LACC LLC’ has been a joint venture between the subsidiary known as LC USA of Lotte Chemical Corporation and the company Eagle US. The Lotte Chemical said that, this agreement has been following the past announcements in the relation to the LC USA for entering into a securities purchase agreement with the Eagle US for the purpose of transferring around 34. 79 percent equity interest in the LACC LLC to the Eagle US.
The company also said that, the transfer of equity has been arising from the Eagle US that has been exercising the company’s call option, which us responsible to allowing the company for increasing the equity interest in the LACC LLC to around 50 percent.
The company said that, after the completion of the transfer of the equity, the shareholding of Eagle US in the LACC LLC is going to be increased to 50 percent with the LC USA, which has been holding the remaining share of 50 percent, and the company also said, LC USA is also expected for generating a gain on the disposal after the tax of around 27 million dollars from the transfer amount.
