To strengthen its grip on water and air purifier market, South Korea’s Woongjin Group will purchase the shares of Coway from GIC Pvt. Ltd., a sovereign wealth fund created by the Government of Singapore.
The midsized IT solution company will purchase additional shares of more than USD 250 Million of the water purifier manufacturer that would vary with respect to share price. To legally take control over the subsidiary, Woongjin needs to secure 30% of Coway’s shares.
Earlier in 2013, Woongjin sold Coway to a private equity firm, MBK Partners but later in 2018, it decided to purchase 22.17 percent stake in Coway Holding. According to the chairman at Woongjin Corp., Yoon Seok-Keum talked about how leasing water purifiers and air purifiers and even automobiles on rent is a mainstream business these days. He addressed the acquisition of this company’s shares to be beneficial for their business’s growth in future. During this acquisition the price per share was double compared to the time when Woongjin sold around 30% interest and management rights of Coway in January 2013.
Coway is the leading water filter company that was established in 1989. It specializes in variety of products such as water & air purifiers, water softeners, bidets, cosmetics and mattresses among other life care products.
Source By : Woongjin, INC.