LG Chem closes $1 bn water filter division sale to Glenwood PE

LG Chem Ltd. said on Friday it has finalized the sale of its water filter business to Seoul-based Glenwood Private Equity for 1.4 trillion won ($1 billion) as part of efforts to focus on life science and advanced materials.

The deal follows the 150-billion-won sale of its in vitro diagnostics division to Glenwood in 2023, as the largest petrochemical company in South Korea is striving to prop up its bottom line amid a prolonged downturn in the industry.

The water filter business sold to Glenwood is the world’s second-largest producer of reverse osmosis membranes used for desalination and industrial water treatment, behind Japan’s Toray Industries Inc.

In 2024, it raked in 220 billion won in sales, accounting for 0.45% of LG Chem’s revenue.

The division was established following LG Chem's acquisition of NanoH2O in 2014. The US startup held a patent on thin-film nanocomposite (TFN) technology used to remove salt and other pollutants from water.

Accelerating its restructuring efforts, LG Chem has also put the cosmetic filler business, part of its life science division, up for sale. However, the aesthetic business, valued by LG at more than 500 billion won, has attracted lukewarm interest.

Write to Yeonhee Kim at yhkim@hankyung.com