Enchem, Re-sells Initech Shares... Declares Focus on Core Business Electrolyte "Strengthening Global Market Competitiveness"

[Financial News]  Leading secondary battery electrolyte company Enchem announced on the 29th that it has decided to strategically dispose of its shares in Initech, which it acquired about two months ago.
Regarding this somewhat unusual decision, the company stated, "This is a strategic decision to focus all capabilities on the core business of electrolytes," and explained that it is a measure to reorganize its global growth strategy.
Previously, Enchem had secured strategic shares in Initech, an IT and security solutions affiliate, expecting synergy, but recently decided to sell the shares and focus all capabilities on the electrolyte value chain after careful consideration, following the strategy of expanding the global value chain and reorganizing its core business.
An Enchem representative said, "Although we tried to create technical and business intersections, we determined that focusing on the core business is more effective for strengthening global competitiveness at this point," emphasizing that "the sale of Initech shares is not a decision for short-term profit, but a choice to focus on the essence."
The funds secured from this share sale will be invested in strategic investments and the expansion of Enchem's electrolyte and raw material value chain.
Enchem is accelerating its strategic moves in the Chinese and American markets recently. In China, it plans to significantly increase the supply of electrolytes by tens of thousands of tons and secure next-generation material technology through equity investment and acquisition strategies to enter the value chain of top battery companies like CATL and BYD.
In the USA, it plans to accelerate investments in major production bases such as Georgia, Tennessee, and Indiana through fundraising. A company representative said, "We plan to focus not only on electrolytes but also on new businesses such as recycling NMP (R-NMP), carbon nanotube (CNT) dispersions, and internalizing lithium salt raw materials, securing overwhelming competitive advantages in major overseas markets."
Meanwhile, Enchem aims to secure both profitability and stability through strengthening its core business and global expansion, and this decision is noteworthy as it aims to maximize business efficiency and execution through selection and concentration.


kakim@fnnews.com Kyung-A Kim Reporter