SEOUL, April 17 (Korea Bizwire)– South Korean retail giant Lotte Group said Tuesday that it has recently completed purchasing a hotel and farm in Russia as it moves to expand its presence in the country’s far eastern region.
Hotel Lotte, the lodging and accommodation arm of South Korea’s fifth-largest conglomerate that has sprawling businesses in food, retail and construction, bought a 100 percent stake in Hyundai Hotel in Vladivostok from Hyundai Heavy Industries Co.
Another of the group’s affiliates, Lotte International Co., purchased a farm, approximately one-sixth the size of Seoul in Russia’s Maritime Province.
The group said the two deals, worth a combined 86.5 billion won (US$79.4 million), have been completed as Seoul’s Fair Trade Commission recently approved the business deals.
“The group will actively tap deeper into Russia and the Far East region by combining Hyundai’s great manpower and Lotte’s business competence,” said a Lotte Group official, who asked not to be named.
Hyundai Hotel, situated in central Vladivostok, is a luxury hotel with 153 rooms. With the takeover, Lotte Hotel will operate 10 hotels overseas, including one in Moscow and another in Saint Petersburg.