SEOUL, KOREA - Korea's Kolon Group will invest in a pharmaceutical plant in West Africa by establishing a joint venture with Saudi Arabia's sovereign wealth fund.

 

According to investment banking sources on July 31, Kolon Group had signed an agreement on the 26th with the Islamic Corporation for the Development of the Private Sector, or ICD, to jointly invest in a pharmaceutical plant in Cote d'Ivoire. The ICD is the private-sector arm of the Jeddah (Saudi Arabia)-based Islamic Development Bank Group. The two companies will engage in the marketing of drugs in the West Africa region.

 

A Kolon Group official said, "We have been looking for business opportunities in areas such as Central Asia and Africa where we could create synergies. We are currently in talks with the ICD on terms of the investment including investment sum and detailed business plans."

 

The latest joint venture deal clicked as the ICD made a joint investment offer to Kolon that had been mulling new market investment in West Africa. Sang-Ho Shin, Kolon Group senior executive vice president, said, "Kolon Group is very proud to cement relationship with the ICD and bring Kolon's recognized expertise in the pharmaceutical industry in Africa,"