Lotte Group is stepping on the gas to create a “New Lotte” by revving up the competitiveness of the mobility sector this year.
The business group will continue to invest in the mobility sector, which it is trying to nurture as a future business area.
In the same vein, Lotte Group Chairman Shin Dong-bin stressed Lotte’s innovation during the Value Creation Meeting for the first half of the year, at Lotte World Tower in Jamsil, Seoul, on Jan. 12.
Chairman Shin said, “This year is a significant time in which we have to prove what we’ve prepared for the past few years.
“If we do not challenge for change and innovation, the future will not be much different from the past, and Lotte is expected to implement future growth engines in earnest in 2023,” he said.
Lotte Group is accelerating efforts to implement new business under four themes: health & wellness, sustainability, and new life platform on top of mobility, and expand market presence and restructure its business portfolio through M&As.
Lotte is opening Lotte Mall Hanoi in Tay Ho, the new city of Hanoi, in August.
The multi-purpose shopping mall, costing 330 billion won, will have 23 floors with two basement floors and about 350,000 sq. meters in floor space.
It will accommodate a shopping mall, a movie theater, an aquarium, a hotel, service residences and offices.
Lotte plans to implement a project to develop a large-scale multipurpose complex, comprising of commercial buildings, such as a 60-floor shopping mall with five basement floors, office, hotel and apartment structures in Thu Thiem, Hoh Chi Minh City.
The project, costing $900 million, is a smart complex project of construction and distribution infrastructure, to be built by advanced smart technologies and distribution knowhow Lotte has accumulated.
Lotte’s distribution group has continued to make investments with the goal of establishing itself as a top-tier leader in the Indonesian distribution industry.
Lotte opened Serpong Branch in Tangerang, the 50th retail outlet and the 36th whole-sale shop in Indonesia, last December.
Lotte Mart became the first Korean distribution company to enter the Indonesian market by acquiring 19 outlets from Indonesia Makro in 2008.
The company now has 36 whole-sale shops and 14 retailer outlets. Lotte Mart opened Vinh Branch, the 15th outlet in Vietnam.
Unlike the previous year, Lotte Group participated in CES 2023, which took place in Los Angeles from Jan. 5 to Jan. 8.
The business group, pursuing innovation, unveiled the implementation of new businesses. Lotte Data Communication showcased a super real metaverse, enabling about 30 people to have multi-faceted access simultaneously.
The company released a “virtual store” in which diverse products can be experienced in cooperation with Lotte Duty-Free, Lotte Hi-Mart and Seven Eleven.
Another axis of the health and wellness theme is Lotte Biologics, which is hitting the gas to expand its presence with the goal of becoming a global top 10 bio contract development and manufacturing organization (CDMO) company by 2030.
The company completed the acquisition of a plant in Syracuse, the United Sates, from Bristol Myers Squibb (BMS).
Lotte Biologics has maintained relationships with BMS by striking CDMO contacts worth at least $220 million.
As for the mobility sector, Lotte Group is stepping on the gas to actualize a project to verify the urban air mobility business on top of EC car charging business.
A consortium, led by Lotte Rental, Lotte Data Communication and Lotte E&C, is participating in the first phase of “K-UAM Grand Challenge,” a national verification project, being conducted in Goheung, Jeollanam-do, starting this year.
The business group is trying to build differentiated vertiports, designed to utilize UAMs in a safe fashion by linking major centers of distribution and tourism infrastructure facilities.
Lotte Chemical is implementing projects to produce separation membrane materials and battery electrolyte organic solvents.
Lotte Battery Materials USA, a subsidiary of Lotte Chemical, is acquiring Iljin Material, Korea’s No. 1 copper coil maker.