Lotte to buy BMS biomedicine plant for $160 mln

SEOUL-- South Korea's Lotte Group decided Friday to buy U.S. drug firm Bristol Myers Squibb (BMS)'s pharmaceutical factory in Syracuse, New York, for $160 million.

Lotte's board of directors approved the deal, which also includes BMS's contract manufacturing agreements to produce medicine worth $220 million over the next three years.

Lotte said it also plans to make additional investment to establish a contract development and manufacturing organization (CDMO) and have production capacity for commercial biological products and cell and genetic treatment.

The retail-to-chemical conglomerate said the deal is part of its broader plan to invest 2.5 trillion won ($1.9 billion) in the bio business over the next decade to become a major player in the sector.

Source: Yonhap News Agency