DL Chemicals decides to sell subsidiary Cariplex to Glenwood PE

Binding MOU before signing the main contract… Transaction size estimated to be in the mid to late 1 trillion won range

(Seoul = Yonhap News) Reporter Lim Ki-chang = Cariflex, a medical latex manufacturer and subsidiary of DL Chemicals, will be sold to private equity fund management company Glenwood Private Equity (Glanwood PE).

DL announced through a public announcement on the 4th that DL Chemicals is pursuing the sale of Cariplex and signed a 'binding memorandum of understanding' (MOU) with Glenwood PE on this day to set basic matters before signing the main contract.

Cariplex, which DL Chemicals acquired from Creighton of the U.S. for 620 billion won in 2020, is considered a leading company in the field of medical isoprene (IR) latex.

Following the completion of the expansion of the Brazilian plant in 2021, the company has expanded its production capacity by completing a new polyisoprene plant in Singapore in May of last year, and has continued to pursue a stable and diverse supply of materials.

After the acquisition of DL Chemicals, the demand for medical synthetic rubber gloves surged due to the coronavirus pandemic, leading to a sharp rise in performance at one point.

DL said, “We are currently discussing specific terms between the parties,” and the transaction price has not yet been determined. The market estimates the transaction size to be in the mid to late 1 trillion won range.