Lotte Corporation decides to provide KRW 451.7 billion loan to subsidiary PT LOTTE Chemical Indonesia for liquidity support

Lotte Corporation decided to provide a loan of KRW 451.7 billion (USD 300 million) to its subsidiary PT LOTTE Chemical Indonesia (LCI) for repayment of ECA facility and liquidity management.
Loan terms: 5-year grace period, then amortizing over 6 years from 2031, interest rate SOFR 1Y + 1.45%. The loan amount is 2.57% of parent's equity.
LCI's financials as of end-2025: total assets KRW 5.75 trillion, total liabilities KRW 4.01 trillion, equity KRW 1.74 trillion, net loss of KRW 457.4 billion, indicating continued losses.
This is a related-party fund support; direct financial burden on Lotte Corporation is limited, but LCI's performance improvement is key.
[AI Summary]Given LCI's losses and high debt, this loan is a necessary liquidity injection, but if LCI's profitability recovery is delayed, it could weigh on Lotte Corporation's consolidated financials, warranting investor attention.