Korean M&A Disappoints.(mergers and acquisitions in the chemical industry)(Brief Article)

Few Major Combinations Emerge

CONSOLIDATION IN THE Korean chemical industry has been slow during the last three years, despite the heavy debts that still afflict most chemical companies--a legacy of the Asian economic crisis. The need for restructuring is as urgent as ever in 2001 because improving domestic and regional consumption is being swamped by overcapacity, sources say. One big M&A deal was completed, an olefins merger and polyolefins asset swap between Daelim Industrial and Hanwha Chemical at the start of 2000. Only smaller deals have taken place since then, however.

The Korean government is becoming impatient with the slow pace of industry …