S. Korean polysilicon maker to buy stake in Malaysian unit of Japanese rival

SEOUL, Sept. 28 (Yonhap) -- OCI Co., a South Korean maker of polysilicon, said Wednesday that its board of directors has decided to buy a stake in a Malaysian unit of Japanese rival firm in a bid to expand its presence.

In a statement, OCI, the world's No.3 polysilicon maker said it would purchase 26.5 billion won (US$24.2 million) worth stocks to be sold by Tokuyama Malaysia Snd. Bhd, a unit of Japanese chemical firm Tokuyama, and plans to further increase its stake in the company.

The stock purchase will represent a 16.5 percent stake in the Malaysian firm.

Tokuyama Malaysia, established in 2009, produces 20,000 tons of polysilicon annually and has been suffering from low prices for the past few years.

Polysilicon is an essential raw material for solar cells to convert sunlight into electricity.

OCI currently operates a plant in South Korea which produces 52,000 tons of polysilicon annually.

sam@yna.co.kr
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