OREANDA-NEWS. September 01, 2010. Daewoo International and the state-run Korea Minting & Security Printing Corp. (KOMSCO) set up a joint venture registered as Global KOMSCO Daewoo to acquire pulp maker in Uzbekistan, as Korea Times reported.

Daewoo International said that the two companies would cooperate in efforts to take over the Uzbek Kogozi Company that churns out cotton celluloses in bulk used to make bills, checks, gift cards, gun powders and fine chemistry products.

The two corporations regard it as a done deal as Daewoo and KOMSCO signed a memorandum of understanding (MOU) in February with the National Bank of Uzbekistan, which owns 100% of Kogozi.

"After signing the contract in the coming months, Global KOMSCO Daewoo will begin full-fledged operations in the Kogozi facilities during the first half of 2011,’’ a Daewoo International representative said.

"Kogozi will roll out 20,000 tons of cotton celluloses annually. Cotton cellulose has emerged as an eco-friendly material and there is an annual demand for roughly 17,000 tons in Korea, 100% of which is imported.’’

KOMSCO has a 65% stake in Global KOMSCO Daewoo while Daewoo International controls the remaining 35%.