SK Chemicals, SK Group’s chemical manufacturing unit, said Wednesday that it will issue new shares worth around 200 billion won ($170 million) in a bid to raise funds for its future businesses, including biopharmaceuticals and environmentally friendly materials.

The paid-in capital increase will take place through a public offering, according to the company. The per-share price has been set at 57,800 won, which is 20 percent cheaper than the current market price.

The company said the newly acquired capital will be used to channel new investments into its major businesses, set to lead the company’s future growth.

SK Chemicals, the developer of South Korea’s first cell culture-based influenza vaccine, has been making bold investments into nurturing and expanding its biopharmaceuticals and eco-friendly materials development business.

“We decided to pursue a paid-in capital increase in a bid to concentrate our investments on our core future businesses and raise the company’s stock value,” SK Chemicals said in a statement.

All processes related to the upcoming paid-in capital increase will conclude within this year, according to the chemicals company.

By Sohn Ji-young (jys@heraldcorp.com)