Standard Chartered PLC's (STAN.LN) private equity arm said Tuesday it invested US$40 million to acquire a minority stake in Environmental Facilities Management Corp., a wholly owned subsidiary of Kolon Group.

Standard Chartered Private Equity Ltd. said it will invest US$32 million for a 40% stake in the South Korean company, and an additional US$8 million to expand the water treatment business.

Standard Chartered said it aims to help the company expand in South Korea as well as into new markets such as China and India.

Environmental Facilities Management Chief Executive Ju Hong Lee said in a statement the company is "seeing more and more private investments in the environmental sector."

The company was founded in 1998 as a water treatment facility manager, and became part of the Kolon Group in 2007. It has more than 75 facilities throughout South Korea and generated sales of KRW172.5 billion in 2008. Kolon Group is a Korean conglomerate that started as a nylon textile maker.

-By Ellen Sheng, Dow Jones Newswires; 852-2832-2336; ellen.sheng@dowjones.com

 
 
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