[Alpha Biz= Kim Jisun] Private equity firm MBK Partners is in negotiations with CJ CheilJedang for the acquisition of its bio division.


According to the financial investment industry on March 6, MBK has recently entered into serious discussions with CJ Group, negotiating pricing and other key terms.


CJ CheilJedang’s bio division specializes in animal feed additives and food seasoning materials and holds the No.1 global market share in five out of the eight major feed amino acids, including lysine.


CJ CheilJedang announced in November 2023 that it was reviewing options for its bio division, including a potential sale. Industry analysts interpret this move as an effort to enhance financial stability and strengthen its food business.


While CJ Group was also in discussions with several Chinese companies, MBK has demonstrated stronger commitment, accelerating negotiations.


In 2023, CJ CheilJedang’s bio division reported ₩4.2095 trillion in revenue and ₩337.6 billion in operating profit, a significant increase from the ₩251.3 billion in 2022.


CJ is reportedly seeking ₩5–6 trillion for the sale, though both parties have yet to reach a final agreement on the price.

 

 

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