SK Chemicals to Invest 100 BIl. Won to Expand into Blood Preparations Market

SK Chemicals’ Vaccine R&D and Manufacturing Plant in Andong in Gyeongsangbuk-do Province, South Korea. (image: SK Chemicals)

SEOUL, Nov. 9 (Korea Bizwire) – SK Chemicals will expand its business for blood preparations by investing 100 billion won. The unit for blood derivatives posted about 60 billion won in sales revenue last year.

The company said on November 7, “We plan to increase the plasma fractionation capacity by five times to 600,000 liters from current 120,000 liters. The fund needed for the investment will be procured by enlisting financial investors. We are currently reviewing the feasibility of the plan with a goal of breaking the ground by early next year.” 

It is likely to take about three years to build the facility and the unit’s sales revenue is expected to rise to 200 billion won by 2020. An SK Chemicals official said, “The current global blood preparations market is estimated at $20 billion. But it is growing at an annual rate of 10 percent as the incidence of autoimmune diseases and hereditary hemorrhagic conditions is on the rise.”

He added, “The market prospect is good because there are only a few market participants in this area as the business requires a high degree of precision in production and distribution.”

By Kevin Lee (kevinlee@koreabizwire.com)